Ethereum Price Relatively Muted But Approaches Crucial Breakout

11 months ago 21

Ethereum price is consolidating gains below the $2,350 resistance zone. ETH could revisit the $2,200 support before it starts a fresh increase. Ethereum is still holding gains above the $2,250 support zone. The price is trading below $2,280 and...

Ethereum price is consolidating gains below the $2,350 resistance zone. ETH could revisit the $2,200 support before it starts a fresh increase.

Ethereum is still holding gains above the $2,250 support zone. The price is trading below $2,280 and the 100-hourly Simple Moving Average. There is a connecting bearish trend line forming with resistance near $2,290 on the hourly chart of ETH/USD (data feed via Kraken). The pair could extend its decline and revisit the $2,200 support zone.

Ethereum Price Remains In A Range

Ethereum price started a downside correction from the $2,350 level. ETH declined below the $2,320 and $2,300 levels. It even spiked below the $2,250 level.

A low was formed near $2,247 and the price is now attempting a fresh increase, like Bitcoin. There was a move above the $2,265 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $2,327 swing high to the $2,247 low.

Ethereum is now trading below $2,280 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance near the $2,290 level. There is also a connecting bearish trend line forming with resistance near $2,290 on the hourly chart of ETH/USD.

The trend line is close to the 50% Fib retracement level of the downward move from the $2,327 swing high to the $2,247 low. A close above the $2,290 resistance could send the price toward $2,320.

Ethereum Price

Source: ETHUSD on TradingView.com

The main resistance sits at $2,350. A clear move above the $2,350 zone could start a major increase. The next resistance sits at $2,420, above which Ethereum might rally and test the $2,550 zone.

More Losses in ETH?

If Ethereum fails to clear the $2,290 resistance, it could start a fresh decline. Initial support on the downside is near the $2,250 level.

The first key support could be the $2,220 zone. A downside break and a close below $2,220 might spark more bearish moves. In the stated case, Ether could revisit the $2,120 support. Any more losses might send the price toward the $2,040 level.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is losing momentum in the bullish zone.

Hourly RSIThe RSI for ETH/USD is now below the 50 level.

Major Support Level – $2,220

Major Resistance Level – $2,290


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