Ethereum rose above $2,700 against the US dollar. ETH price is now consolidating near $2,800 and it could start a downside correction in the near term.
Ethereum started a fresh rise above the USD 2,700 resistance level. The price is now trading above $2,700 and the 100 hourly simple moving average. A major bullish trendline is forming with support near $2,720 on the ETH/USD hourly chart (data feed via Kraken). The pair is consolidating above USD 2,750 and may correct lower in the near term.
Ethereum Price Extends Profit
Ethereum remained well above the USD 2,600 support zone. It hit a low near USD 2,590 and ETH started a fresh rise above the key USD 2,650 and USD 2,680 resistance levels. The price even hit the $2,700 level.
Finally, there was a move above the $2,750 level and a close above the 100 hourly simple moving average. It highs near $2,791 and the price is now consolidating gains. It is trading nicely above the 23.6% Fib retracement level from the upward move from the $2,634 swing low to $2,791 high.
A major bullish trendline is also forming with support near USD 2,720 on the ETH/USD hourly chart. An immediate resistance on the upside is near the $2,780 level. The first major resistance is near the $2,800 level.
Source: ETHUSD on TradingView.com
Ether price needs to clear the $2,780 and $2,800 resistance levels to start another rise. In the mentioned case, the price may be able to climb towards the $2,880 level. If there is even more gains, a move towards the key $3,000 resistance zone may be needed in the near term.
Dips limited in ETH?
If ethereum fails to start a fresh rise above the $2,800 level, it could initiate a short-term downside correction. An initial support on the downside is near the USD 2,750 level.
The next major support is near the $2,720 level and the trendline. The key support is now near the USD 2,700 level. It is near the 50% Fib retracement level of the upward move from the $2,634 swing low to $2,791 high. A downward breach below the $2,700 support zone could start another decline towards the $2,600 level.
Technical indicators
Hourly MACD – The MACD for ETH/USD is now losing pace in the bullish zone.
Hourly RSI – The RSI for ETH/USD is still above the 50 level.
Major Support Level – $2,600
Major Resistance Level – $2,700