Ethereum (ETH/USD) is trading around $2,126, above the 200-day EMA and the 21-day SMA, and within a downtrend channel that has been forming since March 15.
Ethereum is showing positive signs and is expected to break out and consolidate above $2,150 in the coming hours. If this scenario occurs, it could be seen as a buy signal with targets at the 3/8 Murray level around $2,187, and it could even reach the March 15 high around $2,360.
If Ethereum falls below the 200 EMA, located around $2,103, we could expect a resumption of the bearish cycle, potentially reaching the 21 SMA around $2,064. It could even continue its bearish cycle, reaching the 2/8 Murray level around $1,875.
Conversely, as long as the crypto trades above the 200 EMA, any pullback could be viewed as an opportunity to buy Ethereum with targets at $2,187 and $2,350.
According to the H4 chart, ETH shows signs of exhaustion in its bullish momentum. If Ethereum reaches the 3/8 Murray line around $2,187, it would still face strong resistance, as it has been attempting to break through this zone since early March without success. Therefore, we expect Ethereum to reach this level; it could face a strong rejection, which could be considered a selling opportunity.
