Ethereum remained supported above the $ 3,650 zone against the US dollar. ETH needs to break through the $ 3,850 and $ 3,900 resistance levels to continue rising in the short term.
- Ethereum began another spike above the $ 3,700 and $ 3,750 resistance levels.
- The price is now trading above $ 3,800 and the 100-hour simple moving average.
- A large contracting triangle is forming on the hourly chart of ETH / USD (data feed on Kraken) with resistance near $ 3,840.
- The pair could start a new rally if it breaks the critical USD 3,920 resistance zone.
Ethereum price is still supported
Ethereum began a downward correction after failing to stay above the $ 3,900 zone. ETH fell below the USD 3,800 support zone and the 100-hour simple moving average.
The price even climbed below the USD 3,750 support zone. A low was made at $ 3,678 and the price is now rising. It broke the USD 3,780 resistance zone. There was a break above the 50% Fib retracement level of the recent decline from the $ 3,893 high to the $ 3,678 low.
Ether is now trading above $ 3,800 and the 100-hour simple moving average. The price is now testing the 61.8% fib retracement level of the recent decline from the high of $ 3,893 to the low of $ 3,678. A large contracting triangle is also forming on the hourly chart of ETH / USD with resistance near $ 3,840.
Source: ETHUSD on TradingView.com
Immediate resistance to the upside is near the $ 3,840 level. The next major resistance is near $ 3,920, above which the price could start a new rally. In this case, the price could attempt a clear break above the USD 4,000 resistance zone. The next big support is near the $ 4,120 mark.
Dips Limited at ETH?
If Ethereum cannot continue to rise above the USD 3,840 and USD 3,920 resistance levels, it could usher in a new downward correction. Initial downside support is near the $ 3,780 level and the 100 hour SMA.
The first major support is now forming near the $ 3,720 level and the lower triangle trendline. If there is a downside break below the USD 3,720 support, the price could drop further. The next major support is at $ 3,650.
Hourly MACD – The MACD for ETH / USD is gaining pace in the upward zone.
Hourly RSI – The RSI for ETH / USD is now above the 50 mark.
Great level of support – $ 3,720
Great resistance level – $ 3,920