- ETH price corrected lower towards $295 against the US Dollar where it found support.
- Yesterday’s highlighted ascending channel pattern with support at $294.20 on the hourly chart of ETH/USD (data feed via SimpleFX) is still intact.
- The pair is testing support and might soon resume its uptrend above $295.00 in the near term.
Ethereum price corrected lower against the US Dollar and Bitcoin, but ETH/USD remains supported above $294 for more gains.
Ethereum Price Support
Yesterday, we saw a decent rise in ETH price above the $302 level against the US Dollar. The price traded towards the $309-310 levels where it faced sellers and started a downside move. During the downside, there was a break below the 23.6% Fib retracement level of the last wave from the $278.95 low to $309.37 high. The price even moved below the $297 support area and the 38.2% Fib level of the same wave.
However, a major support at $294-295 protected losses. Yesterday’s highlighted ascending channel pattern with support at $294.20 on the hourly chart of ETH/USD played its part well. It defended losses below $294 along with the 100 hourly simple moving average. Furthermore, the 50% Fib retracement level of the last wave from the $278.95 low to $309.37 high also protected losses.
It seems like the price has completed a correction at $294. It may soon resume its upside above the $295 level in the near term. On the upside, an initial resistance is at $302. However, the most important support is near the channel resistance of $312. In the short term, one may consider buying dips towards $295. As long as the channel support at $294 is intact, the price might continue moving higher.
Hourly MACD – The MACD has just moved in the bearish zone.
Hourly RSI – The RSI is attempting to move back above the 50 level.
Major Support Level – $294
Major Resistance Level – $312
Charts courtesy – SimpleFX