Ethereum Price Exits Correction Trend With 6% Jump, Is $2600 Within Reach?

Despite the ongoing uncertainty in the crypto market, the second largest cryptocurrency Ethereum (ETH) has managed to sustain above the $2150 level. This level coincides closely with the 23.6% Fibonacci retracement level indicating the overall trend of this asset remains bullish. With an intraday gain of 5.3%, the ETH price has just offered a breakout above the resistance trendline which traced the correction trend indicating an early signal of uptrend continuation.

Also Read: Ethereum Ain’t Dead: Here’s Why Ethereum Can Outperform Bitcoin in Q1 2024

Is ETH Price Ready to Surpass $2500

• The ETH price breakout from the overhead trendline should release the build-up momentum
• The coin buyers may face potential supply pressure at $2400, followed by $2665
• The intraday trading volume in Ether is $12.8 Billion, indicating a 30% gain.

Ethereum Price| TradingView Chart

After witnessing steady growth from mid-October to early December, the Ethereum price shifted its projection sideways in line with the current market uncertainty. This last three weeks’ consolidation gives a view of price sustainability at higher levels and a short breather per buyers to recuperate the rest of the time.

Interestingly, the ETH price was actively rebounding from two converging trendlines which acted as a dynamic resistance and support. Today, the Ethereum price witnessed a significant inflow, which led to a decisive breakout from the upper trendline in the 4-hour time frame chart.

Should this candle close above the breached level, the buyers would obtain an early signal of uptrend continuation. With sustained buying the ETH price should surpass the last swing high resistance of $2400 to obtain a better confirmation and entry opportunity.

As per the Fibonacci extension tool, the post-correction rally can chase a potential target of $2665 aligned with the 0.618 FIB level

Key Level to Watch

While the current market outlook for Ethereum seems strongly bullish, the coin buyers may face renewed supply pressure at the $2400 mark. In case this resistance triggers another correction, the coin holders can rely on an ascending trendline that has been offering dynamic support to the ETH price for nearly two months. The coin price rebounded several times from the support project the buyers continued to accumulate at market dips, which is a strong signal of an established uptrend. On the contrary, a breakdown below this support would trigger a significant correction in ETH price

• Bollinger Band: The flattish upper boundary of the Bollinger Band indicator offers an additional layer of resistance at $2400
• Vortex Indicator: A bullish crossover between the VI+ and VI- slope signals a recovery trend in active.

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