Ethereum Surges 2.3% to $2,520 as Bitcoin's All-Time High Boosts Crypto Market

Ethereum (ETH) has demonstrated renewed strength, finding support at $2,463 after a recent correction. This support level allowed the cryptocurrency to initiate a fresh upward movement, surpassing the $2,500 and $2,520 resistance levels. The upward trajectory was further bolstered by Bitcoin's new all-time high, which positively influenced the broader crypto market.

ETH's ascent continued as it broke above the $2,520 level and the 100-hourly Simple Moving Average, indicating strengthening momentum. A significant technical achievement was the breach of a bearish trend line with resistance at $2,540 on the hourly chart. This development suggests a shift in market sentiment, with bullish momentum gaining traction.

The current price action has positioned ETH above the 23.6% Fibonacci retracement level, calculated from the downward move between the $2,729 swing high and the $2,463 low. The next key resistance zone is near the $2,600 level, which aligns with the 50% Fibonacci retracement level of the recent decline. Above $2,600, ETH faces resistance near $2,630 and $2,650, with a clear break above these levels potentially targeting the previous high at $2,720 and beyond.

Technical indicators support the bullish momentum, with the hourly MACD indicator gaining strength in the bullish zone and the RSI indicator moving above the 50 level. These developments suggest that buying pressure is increasing relative to selling pressure, indicating a shift from bearish to neutral-bullish territory. The combination of these technical indicators and the recent price action suggests that the correction may have run its course, paving the way for further gains.

However, if ETH fails to clear the $2,600 resistance, a pullback could occur, with initial support near the $2,520 level. The first major support zone is located near $2,500, which previously acted as resistance and could now provide buying interest on any decline. A break below $2,500 would target the $2,460 support level, with further weakness potentially pushing the price toward $2,420 and $2,350.

In summary, Ethereum's price has broken above a bearish trend line at the $2,540 level, indicating a shift in market sentiment towards bullish momentum. With key resistance levels at $2,600 and $2,650, and support levels at $2,520 and $2,500, the cryptocurrency is poised for further gains if it can maintain its upward trajectory. Technical indicators support this bullish outlook, suggesting that the recent correction may have run its course and that buying pressure is increasing relative to selling pressure.