Ethereum price began a consolidation phase above the $3,650 support. ETH appears to be preparing for the next rally towards $4,000 in the near future.
- Ethereum began consolidating after testing the $3,840 resistance area.
- The price is trading above $3,700 and the 100-hour simple moving average.
- The hourly chart of ETH/USD (data feed via Kraken) shows a short-term contract triangle forming with support at $3,690.
- Unless a break occurs below the $3,450 support, the pair may continue to rise.
Ethereum price maintains support
Ethereum price rose above the $3,500 and $3,650 resistance levels. ETH has surpassed Bitcoin and even surpassed the $3,800 level. A new weekly high was set at $3,838 and the price is currently on an upward trend.
The uptrend remains above the 23.6% Fib retracement level from the $3,065 swing low to the $3,838 high. Ethereum is currently trading above $3,700 and the 100-hour simple moving average. Additionally, on the hourly chart of ETH/USD, a short-term contract triangle is formed with support at $3,690.
Immediate resistance is near the $3,780 level. The first major resistance is near the $3,840 level. An upside reversal above the $3,840 resistance could push the price higher. The next major resistance level is $3,920, above which the price may gain traction and advance towards the $4,000 level.
A clear move above the $4,000 level could push the price higher to test the $4,080 resistance. Further gains could lead Ether towards the $4,200 resistance zone.
Discontinuation of ETH?
If Ethereum fails to clear the $3,780 resistance, a downward correction could begin. Initial support for the downside is near the $3,690 level and trendline.
The next major support level is near $3,650. A clear decline below the $3,650 support could push the price towards $3,450 or the 50% Fib retracement level rising from the $3,065 swing low to the $3,838 high. More losses could push the price towards the $3,360 level in the near term.
technical indicators
Hourly MACD – ETH/USD MACD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is still above the 75 level.
Key Support Level – $3,650
Key Resistance Level – $3,840