Ethereum Price Prediction: Bullish Recovery or Short-Term Trap?
Ethereum ($ETH) is trading at $3,550, recovering from a recent drop that tested support just above $3,500. After a multi-week rally that peaked below the $3,838 resistance, the chart suggests ETH is consolidating—but is it ready for another leg up, or will we see more downside?
ETH Coin Holding Above Key Support
After reaching a local top near $3,838, Ethereum retraced and found support around the $3,530–$3,550 zone. This area has become a crucial short-term demand level. The bounce here is encouraging, especially with the daily candle forming a higher low relative to the July lows.
ETH/USD 1-day chart – TradingView
The 50-day SMA is currently at $3,012, which acted as dynamic support during the June-July rally. As long as ETH stays above this level, the bullish structure remains intact.
Major Levels to Watch
From the chart:
Resistance:
🔼 $3,838 (Recent High)
🔼 $3,620 (Minor Horizontal Resistance)
Support:
🔽 $3,530 (Current Support)
🔽 $3,200 (Key Horizontal Support)
🔽 $3,012 (50-Day SMA)
🔽 $2,732 (Strong demand zone)
Losing the $3,530 level could open a retest of $3,200. Below that, $3,012 becomes the make-or-break level for bulls.
RSI Suggests Potential Momentum Rebuild
The 14-day RSI recently cooled off from overbought territory, now sitting around 56.05. This suggests there’s still room to move higher before ETH becomes overheated again.
Importantly, RSI bounced after a clean test of the 50-level—historically a good sign of bullish continuation during trending phases.
ETH vs. Bitcoin: A Correlation to Monitor
While Ethereum is holding support, it’s worth noting that Bitcoin is still consolidating near its support levels between $112K and $115K. If BTC breaks lower, ETH could follow—even if its own chart looks healthy.
