Ethereum Price Breaking This Confluence Resistance Could Spark Rally
Ethereum price is slowly moving higher above the $1,750 resistance against the US Dollar. ETH could rally if it clears the $1,800 resistance zone.
- Ethereum is slowly moving higher above the $1,750 and $1,760 levels.
- The price is trading above $1,750 and the 100 hourly simple moving average.
- There was a break above a major bearish trend line with resistance near $1,745 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could rise further if it clears the $1,800 resistance zone.
Ethereum Price Recovers
Ethereum price remained well bid above the $1,700 level. ETH formed a base and started a fresh increase above the $1,740 resistance zone, similar to bitcoin.
The price was able to clear the 50% Fib retracement level of the downward move from the $1,801 swing high to $1,686 low. Besides, there was a break above a major bearish trend line with resistance near $1,745 on the hourly chart of ETH/USD.
Ether price is now trading above $1,750 and the 100 hourly simple moving average. It is also above the 76.4% Fib retracement level of the downward move from the $1,801 swing high to $1,686 low.
Source: ETHUSD on TradingView.com
On the upside, the price is facing resistance near the $1,790 zone. The next major resistance is near the $1,800 zone. A clear move above the $1,800 resistance zone might start a steady increase. The next major resistance might be $1,840. Any more gains could set the pace for a test of the $1,950 resistance zone in the near term. Finally, if the bulls remain in action, the price could rise and test the $2,000 resistance zone.
Fresh Decline in ETH?
If ethereum fails to clear the $1,800 resistance, it could start another decline. An initial support on the downside is near the $1,750 level and the 100 hourly simple moving average.
The next major support is near the $1,720 zone. The main support is now near the $1,700 zone. If there is a break below $1,700, the price might gain bearish momentum and drop towards $1,665. Any more losses might call for a test of the $1,600 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,750
Major Resistance Level – $1,800
