Home CryptocurrencyAnalysis Ethereum price signals uptrend exhaustion, but dips could be attractive

Ethereum price signals uptrend exhaustion, but dips could be attractive

by SuperiorInvest

Ethereum price is struggling to break above the $2,550 resistance. ETH could start a downward correction if there is a move below the $2,475 support.

  • Ethereum is consolidating gains below the $2,550 resistance zone.
  • The price is trading above $2,480 and the 100 hourly simple moving average.
  • There was a break below a connecting uptrend line with support at $2,515 on the hourly chart of ETH/USD (data via Kraken).
  • The pair could start a fresh rise if it holds above the $2,475 support zone.

Ethereum price remains supported

Ethereum price saw a steady rise after breaking the $2,420 resistance. ETH rose above $2,450 and $2,500 but underperformed Bitcoin. Finally, bears appeared near the $2,550 zone.

A high was formed near $2,536 and the price is now consolidating gains. There was a small drop below the $2,500 level. There was also a break below a connecting uptrend line with support at $2,515 on the hourly chart of ETH/USD.

Ethereum is still trading above the 23.6% Fibonacci retracement level of the recent rise from the low of $2,282 to the high of $2,536. It is also trading above $2,480 and the 100 hourly simple moving average.

If there is a further increase, the price could surpass the $2,520 level. On the upside, the first major resistance is near the $2,550 level. The next major resistance is near $2,620, above which the price could rise and test the resistance of $2,680.

Source: ETHUSD on TradingView.com

If the bulls remain in action, they could even push the price above the $2,750 resistance. In the indicated case, the price could rise towards the $2,800 level.

Are drops in ETH supported?

If Ethereum fails to overcome the $2,550 resistance, it could start a downward correction. Initial support on the downside is near the $2,475 level and the 100 hourly SMA.

The next key support could be the $2,460 area. A clear move below the $2,460 support could send the price towards $2,400 or the 50% Fibonacci retracement level of the recent rise from the low $2,282 to the high $2,536. The main support could be $2,380. Any further losses could send the price towards the $2,280 level.

Technical Indicators

MACD hourlyThe MACD for ETH/USD is losing momentum in the bullish zone.

Hourly RSIThe RSI for ETH/USD is now above the 50 level.

Main Support Level: $2,475

Main Resistance Level: $2,550

Disclaimer: The article is provided for educational purposes only. It does not represent NewsBTC's views on whether to buy, sell or hold investments, and investing naturally carries risks. It is recommended that you conduct your own research before making any investment decisions. Use the information provided on this website at your own risk.

Source Link

Related Posts