Ethereum price recovered above $3400 over the weekend

• On Friday evening, the Ethereum price dropped to the $3251 level. 

Ethereum chart analysis

On Friday evening, the Ethereum price dropped to the $3251 level. The price from the new support initiates a bullish consolidation on Saturday to the $3434 level. There, we encountered the first resistance, and by the end of the day, the price retreated to support up to the $3300 level. On Sunday, we start a new bullish consolidation from that level and climb again above the $3400 level.

Consolidation on Sunday night brings us to $3475 and the EMA200 moving average. The price began to retreat to the $3420 level at the start of Monday. We quickly consolidated there and started a recovery that managed to move us above the EMA200 and climb up to the $3500 level. At that level, we form a daily high and stop there.

We are close to breaking above $3500; does Ethereum have the strength to do so?

Now, we are again hovering around EMA200, but the picture is optimistic, and we expect to continue on the bullish side and rise to a new high. Potential higher targets are $3525 and $3550 levels. For a bearish option, we need a negative consolidation and a drop in the price of Ethereum to the $3400 support level.

This is where we come across the EMA50 moving average, and a drop below it is just an additional confirmation that the price is in trouble and that a further pullback will follow. Potential lower targets are $3375 and $3350 levels. At $3300, it becomes critical because we test the previous low, and if we fall below, we go to a new lower low and thus get confirmation for a bearish option.