- ETH price started a fresh increase and broke the key 5 resistance area against the US Dollar.
- The price settled above the 5 level and traded close to the 2 level.
- There was a break above a declining channel with resistance near the 1 level on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is currently consolidating gains, but it is likely to climb further higher above 5.
Ethereum price is gaining bullish momentum versus the US Dollar, similar to bitcoin. ETH is now trading above the 5 resistance and it is likely to continue higher in the near term.
Ethereum Price Analysis
After testing the 0 support, Ethereum price started a steady rise against the US Dollar. The ETH/USD pair broke many hurdles on the way up, including 5 and 0. There was a close above the 0 resistance and the 100 hourly simple moving average. Recently, bitcoin price started a strong upward move, pushing ETH above the key 5 resistance. It opened the doors for more gains above the 5 and 0 levels.
During the rise, there was a break above a declining channel with resistance near the 1 level on the hourly chart of ETH/USD. The pair traded above the 0 level and formed a new weekly high at 2. The price is currently correcting lower and is trading near 8. An initial support is at 6 and the 23.6% Fib retracement level of the recent wave from the 6 low to 2 high. However, the main support is now at 5 (the previous resistance area). The next key support could be near the 9-260 zone.
It coincides with the 50% Fib retracement level of the recent wave from the 6 low to 2 high. If there are further losses, the price could find support near the 2 level and the 100 hourly SMA. On the upside, an initial resistance is near the 2 level, above which the price may perhaps rally above the 5 level. The main resistance is near the 0 level, followed by the 0 handle.
Looking at the chart, Ethereum price is clearly trading nicely above the 5 pivot level. As long as there is no close below the 8 level, there are chances of a fresh increase. A clear break above the 2 level will most likely open the doors for a sharp rise above the 5 and 0 levels in the coming sessions.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is placed heavily in the bullish zone, with positive signs.
Hourly RSI – The RSI for ETH/USD is currently correcting lower from the overbought levels towards the 60 level.
Major Support Level – 0
Major Resistance Level – 2
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