Analysis Technical

Ethereum Price Analysis: ETH/USD Forming Double Top

Aayush Jindal | June 4, 2018 | 5:00 am
Ethereum Price Technical Analysis ETH USD
Analysis

Ethereum Price Analysis: ETH/USD Forming Double Top

Aayush Jindal | June 4, 2018 | 5:00 am

Key Highlights

  • ETH price traded further higher and tested the $635 resistance area against the US Dollar.
  • There is a key bullish trend line formed with support at $612 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair has formed a double top pattern near the $635 level and it may decline further in the short term.

Ethereum price is trading with a positive bias against the US Dollar and Bitcoin. ETH/USD may correct in the short term after a key rejection from the $635 level.

Ethereum Price Resistance

There was a nice upside move in ETH price from the $580 support zone against the US Dollar. The price moved above the $600 and $610 resistance levels to trade further higher. It even succeeded in surpassing the $630 level. However, sellers appeared around the $635 resistance and the price failed to retain traction. A high was formed near $637 before the price started a downside correction.

It declined below the 23.6% Fib retracement level of the last wave from the $588 low to $637 high. However, there are a few important supports on the downside above the $610 level. There is also a key bullish trend line formed with support at $612 on the hourly chart of ETH/USD. Moreover, the 50% Fib retracement level of the last wave from the $588 low to $637 high is near the $612 level to prevent declines. Therefore, a downside break below $612 and $610 won’t be easy in the near term.

Ethereum Price Analysis ETH USD

Looking at the chart, it seems like the price was rejected twice near the $635 resistance. Therefore, there are chances of a double top pattern near $635, which could result in further losses below $612. A downside break below $612 may perhaps signal a confirmation towards the next support at $600.

Hourly MACD – The MACD is slowly moving in the bearish zone.

Hourly RSI – The RSI is moving lower towards the 50 level.

Major Support Level – $612

Major Resistance Level – $635

Tags: , , , , , , , , ,    

NewsBTC is a news service that covers bitcoin news, technical analysis & forecasts for bitcoin and other altcoins. Here at NewsBTC, we are dedicated to enlightening people all around the world about bitcoin and other cryptocurrencies. We cover news related to bitcoin exchanges, bitcoin mining and price forecasts for various virtual currencies.

Casinos

Choose from the best UK casinos
and enjoy the fun!

Read More  ›

We use cookies to give you the best online experience. By agreeing you accept the use of cookies in accordance with our cookie policy.