Ethereum price extended its increase above the $2,650 resistance. ETH is now correcting gains and might find bids near the $2,600 support.
- Ethereum is currently correcting gains from the $2,700 resistance.
- The price is trading above $2,600 and the 100-hourly Simple Moving Average.
- There is a key bullish trend line forming with support at $2,600 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair must stay above the $2,550 support to continue higher in the near term.
Ethereum Price Holds Support
Ethereum price remained well-supported and extended its increase, beating Bitcoin. ETH was able to clear the $2,550 and $2,650 resistance levels. The bulls even pushed the price above the $2,680 resistance.
It tested the $2,700 zone. A high was formed at $2,701 and the price is now correcting gains. There was a drop below the $2,650 level. The price declined below the 23.6% Fib retracement level of the upward move from the $2,528 swing low to the $2,701 high.
Ethereum price is now trading above $2,600 and the 100-hourly Simple Moving Average. There is also a key bullish trend line forming with support at $2,600 on the hourly chart of ETH/USD. The trend line is close to the 50% Fib retracement level of the upward move from the $2,528 swing low to the $2,701 high.
On the upside, the price seems to be facing hurdles near the $2,650 level. The first major resistance is near the $2,680 level. The next key resistance is near $2,700.
An upside break above the $2,700 resistance might call for more gains. In the stated case, Ether could rise toward the $2,780 resistance zone in the near term. The next hurdle sits near the $2,840 level or $2,880.
More Losses In ETH?
If Ethereum fails to clear the $2,650 resistance, it could continue to move down. Initial support on the downside is near $2,615. The first major support sits near the $2,600 zone and the trend line zone.
A clear move below the $2,600 support might push the price toward $2,550. Any more losses might send the price toward the $2,525 support level in the near term. The next key support sits at $2,450.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $2,600
Major Resistance Level – $2,650