Ethereum remained supported above the $1,550 zone against the US Dollar. ETH is rising and might gain pace if there is a clear move above the $1,670 level.
- Ethereum found support near $1,560 and started a fresh increase.
- The price is now trading above $1,620 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1,660 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a fresh rally if there is a clear move above $1,660 and $1,670.
Ethereum Price Remains Supported
Ethereum extended its decline below the $1,650 level. ETH even traded below the $1,600 support zone to move into a short-term bearish zone.
However, the bulls were active near the $1,550 and $1,560 levels. The price remained stable above the 50% Fib retracement level of the upward move from the $1,354 swing low to $1,785 high. Ether price is now rising and trading above the $1,600 level.
There was a break above the 23.6% Fib retracement level of the downward move from the $1,785 high to $1,559 low. It is now trading above $1,620 and the 100 hourly simple moving average. An immediate resistance on the upside is near the $1,650 level.
Source: ETHUSD on TradingView.com
There is also a major bearish trend line forming with resistance near $1,660 on the hourly chart of ETH/USD. The first major resistance is near the $1,670 level. It is near the 50% Fib retracement level of the downward move from the $1,785 high to $1,559 low. A clear move above the $1,670 level could start a steady increase to $1,700. If the bulls remain in action, the price may perhaps rise towards the $1,750 resistance zone.
Fresh Decline in ETH?
If ethereum fails to rise above the $1,670 resistance, it could start another decline. An initial support on the downside is near the $1,620 zone.
The next major support is near $1,560, below which there is a risk of a sharp decline. In the stated case, ether price may perhaps decline towards the $1,505 support in the near term. Any more losses might call for a test of the $1,450 level.
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,570
Major Resistance Level – $1,670
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Author: Aayush Jindal