Ethereum breaking this confluence resistance could spark another wave
Ethereum gained pace above the USD 2,700 resistance against the US dollar. ETH price could amplify gains if there is a clear move above the USD 2,800 resistance.
Ethereum gained pace above the $2,650 and $2,750 resistance levels. The price is now trading above $2,700 and the 100 hourly simple moving average. A major bullish trendline is forming with support near USD 2,640 on the ETH/USD hourly chart (data feed via Kraken). The pair may continue to rise as it clears the USD 2,800 resistance zone.
Ethereum price remains supported
Ethereum continued to establish a base above the $2,650 level and extended its gains. ETH was able to clear the $2,750 resistance zone and remain well above the 100 hourly simple moving average.
The price even spiked above the $2,800 level and peaked near the $2,814 level. It is now consolidating gains below the $2,800 level. It tested the $2,750 level and the 23.6% Fib retracement level from the recent rise from the $2,479 swing low to $2,814 high.
A major bullish trendline is also forming with support near USD 2,640 on the ETH/USD hourly chart. Overall, ether price is trading in a positive zone above $2,700 and the 100 easy moving hourly average.
An immediate resistance on the upside is near the $2,785 level. The first major resistance is near the USD 2,800 level. A good close above the USD 2,800 resistance could push the price further. In the aforementioned case, the pair could rise above the USD 2,850 zone.
Source: ETHUSD on TradingView.com
The next major barrier for the bulls could be $2,920. More gains could send the price towards the $3,000 resistance zone in the coming sessions.
Dips limited in ETH?
If ethereum fails to continue above the USD 2,800 resistance, it could trigger a downside correction. An initial support on the downside is near the USD 2,735 level.
The first major support is now forming near the USD 2,645 level. It is near the 50% Fib retracement level from the recent rise from the $2,479 swing low to $2,814 high. If there is a downside breach below the USD 2,645 level, the price will drop towards the USD 2,550 level.
Hourly MACD – The MACD for ETH/USD is losing pace in the bullish zone.
Hourly RSI – The RSI for ETH/USD is still above the 50 level.
Major Support Level – $2,645
Major Resistance Level – $2,800