30-08-2016
10:53 am
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Coince - Bitcoin Investment Solution

Ethereum Price Technical Analysis 03/02/2016 – Calling For Gains




Ethereum price gained heavily once again. It looks like there is a chance of more upsides if the bulls remain in control. Intraday Support Level can be $7.10. Intraday Resistance Level may be $7.75.
Ethereum Price Technical Analysis
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Key Highlights

  • Ethereum price spiked higher and the recently highlighted breakout pattern on the hourly chart played well.
  • There was a contracting triangle pattern formed on the hourly chart (data feed via Kraken), which was broken by the bulls to take the price higher.
  • The price traded above the $7.50 level, and may correct a few points from the current levels moving ahead.

Ethereum price gained heavily once again and it looks like there is a chance of more upsides if the bulls remain in control.

Ethereum Price – Buy Dips?

Ethereum price consolidated for a brief period during the past couple of sessions, and finally broke higher. I highlighted a contracting triangle pattern on the hourly chart (data feed via Kraken) yesterday and suggested to wait for a break to enter a trade. The price did move higher and breached a major resistance area of $6.60. After the break, there was a nice upside move that took the price above the $7.0 level.

A new high was formed at $7.75 where sellers are trying their best to prevent additional gains. So, there is a chance of a minor correction in the short term. An initial support can be around the 23.6% Fib retracement level of the last wave from the $6.30 low to $7.75 high. It looks like the price is in the overbought territory so the bulls must be very careful in the short term and should wait for the right time to enter a trade.

Ethereum Price Technical Analysis

The price is well above the 100 hourly simple moving average (data feed via Kraken), which is a positive sign. The most important support on the downside can be at the 50% Fib retracement level of the last wave from the $6.30 low to $7.75 high.

Hourly MACD – The MACD may change the slope to the bearish zone, suggesting the price is exhausted.

Hourly RSI – The RSI is around the overbought levels, calling for a minor correction.

Intraday Support Level – $7.10

Intraday Resistance Level – $7.75

 

Charts courtesy of Kraken via Trading View

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Published by

Aayush Jindal

Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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