Ethereum price breaks $3,000 but analysts warn a retest is needed

The cryptocurrency market continues to move forward on March 23, despite facing headwinds on multiple fronts. Currently, global conflicts, rising inflation and widespread economic uncertainty are taking their toll on financial markets and are helping to underscore the need for a diversified investment portfolio.

Altcoins have managed to gain some ground over the past few days, led by Ethereum, the leading smart contract platform, which has managed to climb back into the major $3,000 support and resistance zone where bulls are now turning around fight for control.

ETH/USDT 1-day chart. Source: TradingView

Here’s a look at what several analysts in the market are saying about the way forward for Ether and whether or not further upside is to be expected in the near-term.

Upcoming test of $3,125

A general overview of the recent price action was provided by crypto analyst Michaël van de Poppe, who Posted The chart below shows “Ethereum moves higher after holding a crucial level.”

ETH/USD 2 hour chart. Source: Twitter

Van de Poppe said:

“Seems to me we’re going to test $3,125 next.”

But not all traders were so quick to seek a higher price target, including pseudonymous Twitter user “Chartpunk,” who Posted The chart below highlights the 10-day uptrend for Ethereum and cautions against entering an overheated market.

ETH/USD 4 hour chart. Source: Twitter

chartpunk said,

“Don’t enter the market with FOMO. If you want to join the trend, look for the retest of the entry zone on this chart.”

Based on the area highlighted in the chart, Charpunk is looking for a re-entry around $2,975.

Sentiment is neutral to $3,287

A more measured take on the current price action was offered by crypto trader and pseudonymous Twitter user “Mad Max Crypto,” who posted the chart below, which indicates a “neutral bias until it surpasses $3,287.”

ETH/USDT 1-day chart. Source: Twitter

This prospect was widely shared by cryptocurrency advisor and pseudonymous Twitter user Altcoin Sherpa, who Posted The chart below highlights the series of higher lows and higher highs made by Ether.

ETH/USD 1-day chart. Source: Twitter

Altcoin Sherpa said:

“I think you can make an argument for breaking the market structure to the upside on lower timeframe charts, but personally I’m waiting for the higher levels. Regardless, ETH2.0 fundamentals will soon be strong.”

Related: ETH price hits $3,000 as a major crypto fund adds over $110 million Ethereum to Lido’s staking pool

A possible pullback to $2,600

A final analysis on lower price levels to keep an eye on was brought up by crypto trader and pseudonymous Twitter user “Follis”, who Posted The chart below suggests the possibility of a pullback to $2,600.

ETH/USDT 8 hour chart. Source: Twitter

Follis said

“Strong reaction from this surge in supply but most hourly timeframes are bullish and I expect more upside potential as long as we don’t close below $2,800. The $2,600 area is interesting if we get a pullback, the 0.79 Fib worked well within this macro range.”

The total cryptocurrency market cap is now $1.919 trillion and Bitcoin’s dominance rate is 41.7%.

The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should do your own research when making a decision.