[Ethereum: Analysts identify $2,820 as the next key level to watch for ETH]
Cryptocurrencies have been performing well after recent market gains, with Bitcoin topping $64,000, while Ethereum (ETH) is up 9% over the past week to hold above key support. However, some investors remain cautious about ETH's performance as the currency faces significant resistance levels.
Ethereum prices rose 13% after the U.S. Federal Reserve announced a 50 basis point interest rate cut, pushing it to a one-month high and sparking bullish sentiment in the market. Over the weekend, Ethereum surged rapidly from $2,300 to $2,500 and broke the $2,600 resistance, after which the price fluctuated between $2,600 and $2,684.
Nonetheless, ETH has recovered today from its recent drop to $2,500 and is currently trading at $2,660, up 2.1% on the day and 9.3% on the week. Market analyst Crypto Yapper noted that ETH is facing “key resistance on the daily chart” and could fall back to previous support areas if it fails to break $2,650.
Crypto trader Daan said that while ETH has made higher lows, it has yet to reach higher highs. He believes that a move above $2,820 would signal a trend reversal. This point is consistent with the starting point of ETH’s early breakout to $4,090 and is close to the daily 200-day exponential moving average (EMA), making it a key point to watch.
If ETH manages to break above this resistance, the price could push further towards $3,000. Julien Bittel, head of general economic research at Global Macro Investor (GMI), believes that Ethereum’s trend may repeat its performance in 2023, and predicts that if this trend continues, ETH may reach a target of $10,000 to $20,000 in the first quarter of 2025.
