- ETH price after trading as high as $270 found sellers and started correcting lower against the US Dollar.
- There was a break below a rising and contracting triangle pattern at $260 on the hourly chart of ETH/USD (data feed via SimpleFX).
- Ether is currently correcting lower, but downsides remain limited below $250.
Ethereum price is currently correcting its gains against the US Dollar and Bitcoin, but ETH/USD remains supported on the downside near $250.
Ethereum Price Support
The past 2-3 days were good for ETH price as it moved above the $230 level against the US Dollar. It traded higher and broke the $260 resistance to gain pace towards $270. The price traded as high as $270.84 recently before facing offers. Later, a correction wave was initiated, and the price moved below the $265 level. There was a break below a rising and contracting triangle pattern at $260 on the hourly chart of ETH/USD.
The price recently tested the 23.6% Fib retracement level of the last wave from the $218.81 low to $270.84 high. The recent break has opened the doors for a correction may be towards $250. The next major support is around the 38.2% Fib retracement level of the last wave from the $218.81 low to $270.84 high. Buyers are currently protecting a close below the $260 level, which is a positive sign.
It looks like any major downsides are very unlikely below $250 in the short term. On the upside, the $265 level is a resistance zone, followed by $270. The overall trend is positive, and the price may soon resume its uptrend above $265. Buying dips in the short term towards $255-250 can be considered.
Hourly MACD – The MACD is placed well in the bullish zone and showing positive signs.
Hourly RSI – The RSI is currently above the 50 level.
Major Support Level – $250
Major Resistance Level – $270
Charts courtesy – SimpleFX