Ethereum Price Holds Key Support and Eyes Fresh Move To $1,700
Ethereum corrected lower and traded below $1,640 against the US Dollar. ETH is holding the $1,610 support and might aim a fresh increase.
- Ethereum started a downside correction below $1,650 and $1,640.
- The price is now trading below $1,650 and the 100 hourly simple moving average.
- There is a key bullish trend line forming with support near $1,615 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start another increase if it stays above the $1,600 support zone.
Ethereum Price Remains Supported
Ethereum price failed to clear the $1,720 resistance zone and corrected lower, similar to bitcoin. ETH declined below the $1,650 and $1,640 support levels.
There was also a spike below the 50% Fib retracement level of the upward move from the $1,530 swing low to $1,715 high. Ether price is now trading below $1,650 and the 100 hourly simple moving average. It seems to be holding a major support near the $1,610 level.
There is also a key bullish trend line forming with support near $1,615 on the hourly chart of ETH/USD. An immediate resistance is near the $1,640 level and the 100 hourly simple moving average. The next major resistance is near the $1,660 level. An upside break above the $1,660 resistance zone could spark a fresh increase.
Source: ETHUSD on TradingView.com
In the stated case, the price may perhaps rise towards the $1,700 resistance. Any more gains might send ether price towards the $1,780 resistance zone.
More Losses in ETH?
If ethereum fails to clear the $1,650 resistance, it could continue to move down. An initial support on the downside is near the $1,610 level and the trend line.
The next major support is near the $1,600 zone or the 61.8% Fib retracement level of the upward move from the $1,530 swing low to $1,715 high. If there is a break below $1,600, the price might drop towards the $1,565 support. Any more losses might call for a test of the $1,530 support.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,600
Major Resistance Level – $1,660
