Current dynamics

At the beginning of the month, the ETH/USD pair left the “equal-sided triangle”, breaking through its upper border, and since then has continued its rapid upward dynamics.

Last week, the price reached a strong resistance level of 3437.50 (Murray level [8/8], Fibonacci correction 23.6%) and since then continues to try to consolidate above it. If successful, the movement will continue to the targets of 3570.00 (Murray level [8/8]) and 3906.25 (Murray level [ 1/8], the area of the May highs). The key resistance zone for the bears appears to be 3125.00–3085.00 (Murray level [4/8], Fibonacci correction 38.2%, middle line of Bollinger Bands), a breakout of which downwards could lead to a change in the current short-term trend and a resumption of the decline to the area of 2812.50 (Murray level [2/8], Fibonacci correction 50.0%) and 2500.00 (Murray level [0/8], correction 61.8%).

Technical indicators confirm the likelihood of the current trend continuing: Bollinger Bands are pointing upwards, MACD is increasing in the positive zone, and Stochastic is turning down from the overbought zone, not excluding a corrective decline, but its potential seems limited.

Support and resistance levels

Resistance levels: 3437.00, 3750.00, 3906.25.

Support levels: 3085.00, 2812.50, 2500.00.

Trading scenarios

Long positions can be opened above 3437.00 with targets at 3750.00, 3906.25 and stop loss at 3250.00. Implementation period: 5-7 days.

Short positions can be opened below the 3085.00 mark with targets at 2812.50, 2500.00 and stop loss at 3300.00.