Ethereum price is showing positive signs above the $2,620 zone. ETH is outshining Bitcoin and might start another increase in the near term.
- Ethereum is still showing positive signs above the $2,600 zone.
- The price is trading above $2,650 and the 100-hourly Simple Moving Average.
- There is a key contracting triangle forming with resistance at $2,700 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a decent upward move if it settles above $2,700 and $2,725.
Ethereum Price Remains Supported
Ethereum price attempted a fresh increase above the $2,750 level, beating Bitcoin. ETH broke the $2,780 resistance but it failed to clear the $2,850 resistance zone.
A high was formed at $2,847 and the price started a fresh decline. There was a move below the $2,700 and $2,650 support levels. A low was formed at $2,605 and the price is now consolidating gains. There was a move above the 23.6% Fib retracement level of the downward move from the $2,845 swing high to the $2,605 low.
Ethereum price is now trading above $2,650 and the 100-hourly Simple Moving Average. On the upside, the price seems to be facing hurdles near the $2,700 level. There is also a key contracting triangle forming with resistance at $2,700 on the hourly chart of ETH/USD.
The first major resistance is near the $2,725 level or the 50% Fib retracement level of the downward move from the $2,845 swing high to the $2,605 low. The main resistance is now forming near $2,750 or $2,755.
A clear move above the $2,755 resistance might send the price toward the $2,850 resistance. An upside break above the $2,850 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $3,000 resistance zone or even $3,050 in the near term.
Another Drop In ETH?
If Ethereum fails to clear the $2,725 resistance, it could start another decline. Initial support on the downside is near the $2,660 level. The first major support sits near the $2,600 zone.
A clear move below the $2,600 support might push the price toward the $2,550 support. Any more losses might send the price toward the $2,500 support level in the near term. The next key support sits at $2,440.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 zone.
Major Support Level – $2,660
Major Resistance Level – $2,725
