The price of ethereum is slowly moving higher from $1,840 against the US dollar. ETH still faces strong resistance near the $1,875 level and the 100 hourly SMA.
- Ethereum is currently consolidating losses above the $1,820 support zone.
- The price is trading below $1,875 and the 100-hour simple moving average.
- On the hourly chart of ETH/USD (data feed via Kraken), there was a break above the main bearish trend line with resistance near $1,850.
- The pair might struggle to clear the $1,875 and $1,880 resistance levels.
Ethereum Price Begins Consolidation
Ethereum price remained in bearish territory at the $1,875 support zone. ETH tested the $1,810 zone and recently started a consolidation phase, similar bitcoin.
A low is forming near $1,812 and the price is slowly moving higher in the range. It traded above the 23.6% Fib retracement level of the swing move from the $1,935 high to $1,812 low. Additionally, there was a break above the major bearish trendline with resistance near $1,850 on the hourly chart of ETH/USD.
However, Ether is still trading below $1,875 and 100 hour simple moving average. Immediate resistance is near the $1,860 level. Additional resistance is located near $1,875 or the 100-hour simple moving average or 50% Fib retracement of the swing move level from the $1,935 high to $1,812 low.
Source: ETHUSD on TradingView.com
Another key resistance could be near the $1,920 level. A close above the $1,920 resistance zone could trigger a decent rally for Ethereum and the price could rise towards the $1,975 resistance. Any further gains could send the price towards the $1,950 resistance.
Another drop in ETH?
If Ethereum fails to clear the $1,875 resistance, it could start another decline. Initial downside support is near the $1,820 level or the recent low.
Another major support is near the $1,800 zone. If there is a breakout to the downside and a close below $1,800, the bears could gain strength. In the said case, the price may fall towards the $1,720 support zone. Any further losses may push the price towards the $1,650 level in the near term.
Hourly MACD – The MACD for ETH/USD is now losing strength in the bearish zone.
Hourly RSI – The RSI for ETH/USD is still below the 50 level.
Main support level – $1,800
Major resistance level – $1,875