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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Ethereum Takes a Bit Hit But Uptrend Intact Above This Support

Aayush Jindal
Aayush Jindal
1 year ago
2 mins read
Ethereum ETH

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Ethereum jumped to a new 2020 high at $278 before correcting lower against the US Dollar. ETH is now consolidating and it is likely to continue higher above $275.

  • Ethereum seems to be struggling to clear the $275 resistance area against the US Dollar.
  • The price is currently consolidating gains above the $260 support area.
  • There is a key contracting triangle forming with support near $259 on the hourly chart of ETH/USD (data feed via Kraken).
  • Bitcoin price is currently correcting lower, but it remains supported above $10,000.

Ethereum Price Remains In Uptrend

Recently, there were a couple of swing moves in Ethereum above the $260 pivot area against the US Dollar. ETH surged to a new 2020 high at $278 and recently corrected lower.

It broke the $265 support level, but remained well above the 100 hourly simple moving average. The correction was such that the price spiked below the $260 support area before the bulls emerged near the $255 level.

A swing low was formed near $254 before Ethereum rallied above. The last swing high was $278 before the price corrected again to $262. It is currently consolidating losses above the $260 support area.

Moreover, there is a key contracting triangle forming with support near $259 on the hourly chart of ETH/USD. If there is a downside break below the triangle support, the price could retest the $255 support area.

Ethereum Price
Ethereum Price

The main uptrend support for Ethereum is near the $248 level and the 100 hourly simple moving average. If the price fails to stay above the $248 support area, there could be a larger downside correction. The next major support is seen near the $230 area.

Fresh Increase?

On the upside, an initial resistance is near the $270 level. It coincides with the 50% Fib retracement level of the recent decline from the $278 high to $262 low.

A convincing break above the $270 area is needed for more gains. An immediate hurdle could be the 61.8% Fib retracement level of the recent decline from the $278 high to $262 low.

However, Ethereum must gain momentum above the $275 resistance area to start a strong wave towards the $300 resistance area in the near term. If not, it could correct further towards the $248 support level.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is slowly losing pace in the bullish zone.

Hourly RSI – The RSI for ETH/USD is back above the 50 level, with positive signs.

Major Support Level – $260

Major Resistance Level – $275

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Aayush Jindal
Aayush Jindal

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

Read more

From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

In addition to his roles in finance and technology, Aayush serves as the director of a prestigious IT company, where he spearheads initiatives aimed at driving digital innovation and transformation. Under his visionary leadership, the company has flourished, cementing its position as a leader in the tech industry and paving the way for groundbreaking advancements in software development and IT solutions.

Despite his demanding professional commitments, Aayush is a firm believer in the importance of work-life balance. An avid traveler and adventurer, he finds solace in exploring new destinations, immersing himself in different cultures, and forging lasting memories along the way. Whether he's trekking through the Himalayas, diving in the azure waters of the Maldives, or experiencing the vibrant energy of bustling metropolises, Aayush embraces every opportunity to broaden his horizons and create unforgettable experiences.

Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

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Reason to trust

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