Key points
- ETH has risen 1.4% in the past 24 hours and is currently trading above $3,200.
- The top altcoin by market capitalization could retest the $3,000 psychological level as bullish momentum stalls.
Market momentum stalls
Bitcoin (BTC) and Ethereum (ETH) are currently trading around key resistance levels after modest gains over the past 24 hours. These resistance zones could prompt leading cryptocurrencies to recheck lower psychological levels before they either decline further or attempt a successful breakout.
At the time of writing, Ether is trading above $3,200 per coin after adding 1.4% in value over the previous 24 hours. Despite the Federal Reserve cutting its policy rate for the third time this year, ETH failed to break through the $3,500 resistance on Friday.
The Fed’s rate cut had a hawkish tone, which shifted market sentiment toward the downside and saw Ether retest the $3,100 area on Thursday. The market has recovered since then, and Ether could challenge the $3,500 resistance again if the rally persists.
Ether could retest $3,000 before moving higher
The ETH/USD 4-hour chart shows a constructive trend as Ether has gained nearly 4% since the start of the week. Earlier this week, ETH broke above a descending trendline that connected several peaks since October 7 and rallied 6.2% on Wednesday.
However, the price slipped back below $3,100 following the FOMC meeting, leaving a key resistance band near $3,500. If Ether can close a daily candle above the 50-day EMA at about $3,310, it may push toward the next major resistance near $3,592.
The 4-hour RSI sits at 54, above the neutral 50 level, indicating bullish momentum on that timeframe. The MACD registered a bullish crossover earlier in the week, reinforcing a positive bias.
If daily candles fail to close above $3,310, Ether could face another correction toward daily support around $3,017. Traders should watch these levels closely, as further consolidation near resistance could precede either a renewed upside attempt or a deeper pullback to test buyers at lower price points.
In summary, Ether’s near-term direction depends on whether it can sustain gains above the 50-day EMA and regain the $3,500 area. A decisive close above those levels would strengthen the case for higher prices, while rejection could open the door to a retest of the $3,000 region before any sustained recovery.