Ethereum, When Will It Surpass $2,400... 'Hesitating' Before a Bull Run

▲ Ethereum (ETH)

Ethereum (ETH) is taking a breather before the $2,400 resistance level, standing at a crossroads between further upside and a short-term correction. The $2,360 support level and whether it breaks past $2,400 have emerged as key price points determining its next direction.

NewsBTC reported on May 6 that Ethereum's price resumed its upward trend after maintaining a stable flow above the $2,360 range, and could aim for further gains if it surpasses $2,400. After holding the $2,300 support, Ethereum began a new uptrend, similar to Bitcoin (BTC), successively breaking above $2,350 and $2,360.

The price rose to around $2,385, forming a peak at $2,398, and subsequently entered a phase of consolidating its gains. Although it slightly dipped below the 23.6% Fibonacci retracement line of the upward move from the $2,220 low to the $2,399 high, it is still trading above $2,350 and the 100-hour simple moving average.

In terms of technical structure, an ascending trendline with support at $2,360 has formed on the hourly Ethereum-to-dollar chart. If buying pressure remains strong above $2,310, Ethereum could attempt another rally. Immediate resistance is around $2,380, and the first key resistance is $2,400. The next major resistance is presented at $2,440.

A clear break above $2,440 could push the price up to the $2,500 resistance level. If the upward breakout continues to the $2,500 range, there is potential for further gains to the $2,550 resistance zone or even $2,565 in the short term.

Conversely, if Ethereum fails to overcome the $2,400 resistance, a downward correction could begin. The first downside support is around $2,360 and the ascending trendline. The first major support zone is $2,340, and if this support is clearly lost, the price could head towards the $2,310 support level or the 50% Fibonacci retracement line of the move from the $2,220 low to the $2,399 high. If further losses occur, $2,265 is indicated, with the key support level at $2,220.

The hourly Moving Average Convergence Divergence (MACD) is building momentum in the bullish zone, and the hourly Relative Strength Index (RSI) is also above 50. Ethereum's major support level is $2,360, and its major resistance level is $2,400. The short-term trend is expected to be determined between breaking $2,400 and defending $2,360.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*