Ethereum is currently stabilizing above the $3,650 support level, gearing up for a potential surge towards $4,000 in the near term. After testing the $3,840 resistance, the cryptocurrency has entered a consolidation phase, with its price now floating above the $3,700 mark. An observable short-term contracting triangle with support at $3,690 is forming on the hourly chart of the ETH/USD pair. The pair is likely to continue its upward trend unless it drops below the $3,450 support level.

Ethereum Price Sustains Its Strength

Ethereum has maintained its upward momentum, pushing its price past the $3,500 and $3,650 resistance levels. In this rally, ETH has outperformed Bitcoin, reaching above the $3,800 level and gaining notable momentum. The cryptocurrency hit a new weekly high of $3,838 and is currently consolidating these gains. For the latest financial and business news, visit COINTURK FINANCE.

The digital currency, which has held above the 23.6% Fibonacci retracement level of the rise from $3,065 to $3,838, is now trading above $3,700. Moreover, a short-term contracting triangle with support at $3,690 can be seen on the hourly chart of the ETH/USD pair.

Key Resistance Levels for Ethereum

The nearest resistance for Ethereum is around $3,780, with the first major resistance at $3,840. Breaking this resistance could trigger a new upward wave. The next key resistance is at $3,920, potentially attracting more buyers and pushing the price towards $4,000.

A clear move above $4,000 could further propel the price to test the $4,080 resistance. Continued gains might lead ETH to reach the $4,200 resistance zone. Successfully holding these critical levels could open new opportunities in the crypto market.

Risk of Downside Break in Ethereum

Despite Ethereum’s struggle to break past the $3,780 resistance, there is a risk of a potential downside break. From a technical perspective, the first support level is at $3,690, close to the current trend line. Maintaining this support could prevent a significant decline in the short term.

However, the crucial support level lies at $3,650. Falling below this level could result in increased selling pressure, potentially pushing the price down to $3,450. In a more negative scenario, Ethereum’s price could retreat further to the $3,360 level.

In conclusion, while Ethereum remains strong above the $3,650 support, it faces key resistance levels that it must overcome to continue its upward trajectory. The cryptocurrency's ability to maintain these critical levels will determine its short-term movement and potential for reaching new highs.