Ethereum keeps on gaining pace as it surpassed the $1800 resistance level against the US Dollar. It has stabilized above the $1800 support and it could possibly climb higher.
The Merge, expected to happen by next month, has taken a positive toll on Ethereum’s price. This event will mark its complete transition from the Proof-of-Work (PoW) to the Proof-of-Stake (PoS) consensus mechanism.
Just recently, Ethereum rose as high as $1880 and went as far as spiking above the $1920 resistance. Although there was a downward correction below the $1900 level, Ether price tested the 23.6% Fibonacci retracement level of the recent increase from the $1665 low to the $1943 high.
Regardless of the decline from the $1920 level, Ethereum seems to have gained more stability above the $1880 level, and there is a bullish trendline forming with support near this price on the hourly chart.
Though ETH still faces immediate resistance at $1920 and major resistance at $1940, a clear move above these levels means that the price of Ethereum will rally to $2k. It might as well get to the $2120 level if there is more upward momentum.
However, if Ethereum does not go beyond the resistance as soon as possible, there might be a downward movement in its price. Initial support on the downside is at $1880, while the next is on the $1855 level.
