Ethereum has shown a moderate recovery in the market, rising above $2,620. However, there are several resistance levels that may hinder further growth.
Current Market Situation of Ethereum
In the past 24 hours, Ethereum's price climbed above $2,620 after rebounding from the $2,517-$2,540 demand zone. This movement is linked to a recent liquidity level identified by Smart Money Concepts. A break of structure above $2,600 on the 4-hour chart indicates short-term bullish momentum.
Technical Indicators and Their Impact
Various indicators reflect cautious optimism. The Awesome Oscillator is showing rising green bars, and the Bull and Bear Power indicator reads 115.98, indicating improved buying pressure. The Money Flow Index has increased toward 64, and the Chaikin Money Flow remains positive at +0.33, suggesting continued capital inflow. Furthermore, the Directional Movement Index is showing bullish signals; however, the ADX remains below key levels, confirming a lack of strong trend.
Key Liquidity Levels and Short-Term Outlook
Ethereum is currently trading just below a key supply zone between $2,680 and $2,735. A daily close above $2,745 is needed to confirm a stronger trend reversal. While the recent move has cleared minor liquidity near $2,540, central buy-side liquidity remains untested between $2,785 and $2,810. In the short term, maintaining above $2,640 is essential to avoid a retest of the $2,580-$2,540 support area.
Overall, Ethereum is in a recovery phase with some indicators showing growth; however, to sustain this movement, the cryptocurrency needs to break key resistance levels and demonstrate further strength from bulls.
