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- ETH price remained below the $120 and $125 resistance levels against the US Dollar.
- There is a crucial bearish trend line formed with resistance at $116 on the 4-hours chart of ETH/USD (data feed via Kraken).
- The pair needs to surpass the $116, $117 and $120 resistance level for a decent upside move.
Ethereum price is trading in a tight range versus the US Dollar and Bitcoin. ETH/USD could struggle to move past $120, which might result in a bearish break below $112.
Ethereum Price Analysis
This past week, ETH price formed a decent support base near the $112 and $114 levels against the US Dollar. The ETH/USD pair started a recovery and moved above the $116 and $117 resistance levels. There was also a break above the 23.6% Fib retracement level of the last decline from the $126 high to $111 swing low. However, the recovery was capped near the $119 and $120 resistance levels. As a result, there was a fresh decline and the price retested the $112 support level recently. At the moment, the price is trading in a range above $112 and it is preparing for the next move.
On the upside, there is a strong resistance formed near the $116 and $117 levels. There is also a crucial bearish trend line formed with resistance at $116 on the 4-hours chart of ETH/USD. Above the trend line, the next resistance is near the $119 level. It represents the 50% Fib retracement level of the last decline from the $126 high to $111 swing low. Finally, the 100 simple moving average (4-hours) is positioned near the $120 level to act as major hurdle. Therefore, to gain momentum, the price has to break the $116, $117 and $120 resistance levels.
The above chart indicates that ETH price seems to be approaching the next key break either above $120 or below $112. On the downside, a break below $112 may push the price towards $110.
Technical Indicators
4-hours MACD – The MACD for ETH/USD is mostly flat in the bearish zone.
4-hours RSI – The RSI for ETH/USD is currently moving lower and it is below the 40 level.
Major Support Level – $112
Major Resistance Level – $120
