- ETH price looks like gaining bids for a move higher above the $50 handle against the US Dollar.
- Yesterday’s highlighted contracting triangle pattern formed with resistance at $49.05 on the hourly chart (ETH/USD, data feed via SimpleFX) was broken.
- The price is now moving higher, and may soon break the $50 handle.
Ethereum price traded positively during the past few sessions versus the US Dollar and Bitcoin, and now ETH/USD is preparing for a move above $50.
Ethereum Price Support
There was almost no action yesterday in ETH price, but it remained above the $48.50 support against the US Dollar. Later, it found bids and started moving higher above $49.00. Actually, yesterday’s contracting triangle pattern formed with support at $48.20 on the hourly chart ETH/USD acted as a good buy zone. It produced a bounce and helped buyers in gaining traction above $48.80.
The price traded higher and broke the 50% Fib retracement level of the last decline from the $50.99 high to $47.10 low. The best part was a break above highlighted contracting triangle pattern at $49.05. It opened the doors for more gains, and the price broke $49.50. There was also a move above the 61.8% Fib retracement level of the last decline from the $50.99 high to $47.10 low.
Overall, the price is now trading well above the highlighted contracting triangle pattern. It is a positive sign, and may call for more upsides above $50.00. A break and close above $50 could be encouraging. However, the last swing high at $50.99 may still act as a resistance area. Only a break above it may call for a sustained move above $51 in the near term.
Hourly MACD – The MACD is currently moving into the bullish zone.
Hourly RSI – The RSI is well above the 50 level, and heading higher towards 65.
Major Support Level – $48.80
Major Resistance Level – $50.00
Charts courtesy – SimpleFX