Ethereum price is attempting an upward correction from the $2,150 support level. ETH could pick up speed if it breaks out of the $2,240 resistance area.
- Ethereum began an upward correction in the $2,165 region.
- The price is trading below $2,240 and the 100-hour simple moving average.
- On the ETH/USD hourly chart (data feed via Kraken), a breakout occurred above a bearish trend line connecting with resistance near $2,235.
- Breaking out of the $2,240 resistance area, the pair could begin a steady rise.
Ethereum price maintains support
Ethereum price extended its decline below the $2,240 support level. ETH surged below $2,200 before an uptrend appeared near the $2,165 level. The price formed a short-term base and began a Bitcoin-like upward correction.
There was a move above the $2,200 resistance level. Additionally, a breakout occurred above the bearish trend line connecting with resistance near $2,235 on the ETH/USD hourly chart. However, bears are active near the $2,240 resistance. They defended the 23.6% Fib retracement level of the downside move from the $2,480 swing high to the $2,165 low.
Ethereum is currently trading below $2,240 and the 100-hour simple moving average. Meanwhile, the price is finding resistance near $2,240.
The next hurdle could be $2,300 or the 100-hourly simple moving average, above which the price could rise to test the 50% Fib retracement level for a downward move from the $2,480 swing high to the $2,165 low to $2,320. The next major resistance is currently near $2,360.
Source: ETHUSD on TradingView.com
A clear break above the $2,360 level could initiate a significant rally. If specified, the price could rise to the $2,420 level. If more gains occur, the price may head towards the $2,500 area.
Another drop in ETH?
If Ethereum fails to clear the $2,240 resistance, it could begin another downtrend. Initial support for the downside is near the $2,200 level.
The next major support could be the $2,165 area. A break below the $2,165 support could mark the beginning of another significant decline. If indicated, Ether could test the $2,080 support. Any more losses could push the price down to the $2,000 level.
technical indicators
Hourly MACD – ETH/USD MACD is losing momentum in bearish territory.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Key Support Level – $2,165
Key Resistance Level – $2,240
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