- Ethereum price continued to follow a correction pattern against the US Dollar and may trade further higher.
- There is a bearish trend line formed on the hourly chart (data feed via Kraken) of ETH/USD, which is currently acting as a hurdle for more upsides.
- A break above the highlighted trend line resistance may call for a move towards $14.00.
Ethereum price follow through during the current correction mode was impressive, and may push ETH/USD for further gains.
Ethereum Price Break?
Ethereum price ETH continued to gain traction against the US Dollar, as yesterday’s highlighted bullish trend line on the hourly chart (data feed via Kraken) of ETH/USD played well. There was a nice upside reaction taking the price above the 50% Fib retracement level of the last drop from the $14.29 high to $12.10 low. Another important aspect was the fact that the price moved above the 100 hourly simple moving average.
Currently, the price is trading with a positive bias, but facing a major resistance in the form of a bearish trend line formed on the hourly chart (data feed via Kraken) of ETH/USD. Moreover, the 61.8% Fib retracement level of the last drop from the $14.29 high to $12.10 low is also positioned near the same trend line, which might make the task of the buyers a bit more difficult.
If there is a break above the highlighted trend line and resistance, then there is a chance of further gains may be towards the $14.00 level. One may even consider buying with a break, but with caution. A stop in that case should be placed below the 100 hourly SMA.
Hourly MACD – The MACD has moved from the bearish state to bullish, which is a positive sign.
Hourly RSI – The RSI is well below the 50 level, which is another bullish sign.
Major Support Level – $13.20
Major Resistance Level – $13.60
Charts courtesy – SimpleFX