- There was a minor upside move in ETH price, as it traded above $83 against the US Dollar.
- Yesterday’s highlighted contracting triangle pattern with resistance at $82.80 on the hourly chart (ETH/USD, data feed via SimpleFX) was broken.
- The price traded towards $86 before starting a correction back below $85.
Ethereum price is well supported against the US Dollar and Bitcoin, and the current break in ETH/USD calls for more gains going forward.
Ethereum Price Buy Dips
In yesterday’s analysis, we a major resistance in ETH price around $82.80-83.30 against the US Dollar. A break above the stated levels was likely, and it did move past $83. Once there was a break, it cleared the path for more upsides towards $85. During the upside, the price broke the 76.4% Fib retracement level of the last decline from the $87.35 high to $76.90 low.
The best thing was a break above the $83.50 pivot. Also, the price broke yesterday’s highlighted contracting triangle pattern with resistance at $82.80 on the hourly chart. These all are good signs. The price traded as high as $86.04, and currently correcting lower. An initial support is around the 23.6% Fib retracement level of the last wave from the $76.90 low to $86.04 high.
However, the most important support is near a bullish trend line on the same chart at $82.55. It also coincides with the 38.2% Fib retracement level of the last wave from the $76.90 low to $86.04 high. Furthermore, the 100 hourly simple moving average is also positioned on the downside at $81.50 to act as a support. The overall trend remains bullish as long as the price is above $80.
Hourly MACD – The MACD is slowly moving into the bullish zone.
Hourly RSI – The RSI is currently moving nicely above the 50 level.
Major Support Level – $82.50
Major Resistance Level – $86.00
Charts courtesy – SimpleFX