Ethereum (ETH) Price In Corrective Increase But Facing Hurdles

• ETH price managed to recover above $172, but it failed to continue above $180 against the US Dollar.
• The price is currently trading below the $170 support and it might retest the $165 or $162 support.
• There is likely a flag pattern forming with resistance near $171 on the hourly chart of ETH/USD (data feed via Kraken).
• The price could correct towards the $180 level in the coming sessions as long as above $162.

Ethereum price is trading in a broad range after this past week’s decline versus the US Dollar and bitcoin. ETH price might continue to face hurdles near $175 and $180.

Ethereum Price Analysis

This past week, we saw a strong decline in Ethereum below the $185 support against the US Dollar. ETH price even settled below the $175 level and the 100 hourly simple moving average. A new monthly low was formed near $152 before the price started trading in a range. The bears made two attempts to break the $152 and $150 support levels, but they failed to gain momentum.

Recently, there was an upside correction above the $160 and $165 levels. Moreover, the price climbed above the $172 resistance level. However, the price struggled to gain momentum above the $175 level and the 100 hourly SMA. A high was formed near $177 and the price is currently correcting lower. It broke the 23.6% Fib retracement level of the recent wave from the $152 low to $177 high.

However, the $165 level is acting as a decent support for Ethereum. Additionally, the 50% Fib retracement level of the recent wave from the $152 low to $177 high is acting as a support. More importantly, there is likely a flag pattern forming with resistance near $171 on the hourly chart of ETH/USD. On the upside, there are key resistances near $175, $177 and $180.

If there is an upside break above $180, the price could recover towards the $185 resistance area (the previous support). Conversely, a break below the $165 support might push the price further lower. The next key support is near the $162 level, below which the price could accelerate lower towards the $155 level.

Looking at the chart, Ethereum price is showing a few signs of a corrective increase above $170. However, the price must clear the $175 and $180 resistance levels to continue higher. Having said that, the main hurdle for the bulls is near the $185 level.

ETH Technical Indicators

Hourly MACD – The MACD for ETH/USD is slowly moving back into the bearish zone.

Hourly RSI – The RSI for ETH/USD is now well below the 50 level.

Major Support Level – $162

Major Resistance Level – $175