Ethereum Surges 10% to $2,350, Eyes $2,550 Resistance

Ethereum's price has recently shown signs of strength, with a fresh increase above the $2,350 zone. This upward movement suggests a potential bullish trend, with the cryptocurrency poised to aim for a move above the $2,550 zone. The price is currently trading above $2,350 and the 100-hourly Simple Moving Average, indicating positive market sentiment. There is a connecting bullish trend line forming with support at $2,440 on the hourly chart of ETH/USD, which further supports the bullish outlook.

Ethereum's recent price action mirrors its performance from October 2023 to January 2024, which preceded a significant rally. The cryptocurrency has been able to clear key resistance levels, such as $2,320 and $2,350, and is now facing hurdles near the $2,500 zone. The price is currently stuck near the 76.4% Fib retracement level of the downward move from the $2,568 swing high to the $2,115 low, with the next key resistance near the $2,500 level. A clear move above the $2,550 resistance might send the price toward the $2,600 resistance, with potential gains extending to the $2,720 resistance zone or even $2,800 in the near term.

However, the market is not without its challenges. If Ethereum fails to clear the $2,550 resistance, it could start a fresh decline. Initial support on the downside is near the $2,440 level and the trend line, with the first major support sitting near the $2,390 zone. A clear move below the $2,390 support might push the price toward the $2,310 support, with any more losses potentially sending the price toward the $2,220 support level in the near term. The next key support sits at $2,150.

Technical indicators also support the bullish outlook. The MACD for ETH/USD is gaining momentum in the bullish zone, while the RSI for ETH/USD is now above the 50 zone. These indicators suggest that Ethereum is gaining momentum and is poised for further gains. However, investors should be prepared for sudden price movements, as the market is still volatile. The recent price action indicates that Ethereum is still in a strong position, with a potential move above the $2,550 zone on the horizon.