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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Ethereum Rallies 15% To Test Key Downtrend Resistance, Bears Strength Tested

Aayush Jindal
Aayush Jindal
1 year ago
2 mins read
Ethereum

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Ethereum is up more than 15% and it broke the $130 resistance area against the US Dollar. ETH price is now facing a few important downtrend resistances near $142 and $145.

  • Ethereum is gaining traction and it recently surged above $130 and $135 against the US Dollar.
  • The bears are now defending more gains above the $140 and $142 levels.
  • There is a connecting bullish trend line forming with support near $126 on the hourly chart of ETH/USD (data feed via Kraken).
  • Bitcoin price is also up more than 15% and it tested the key $6,400-$6,500 resistance area.

Ethereum Price Rally Facing Hurdles

After trading in a range for a few sessions, Ethereum gained strength above the $125 resistance against the US Dollar. ETH price broke a key hurdle near the $130 level to start a solid rally.

The bulls gained momentum and the price surged above the $135 level. Besides, there was a close above the $135 level and the 100 hourly simple moving average. The price traded to a new weekly high at $144, where the bears emerged.

It seems like the previous important supports near $142-$145 are now acting as a barrier for the bulls. Ethereum is currently correcting lower from the $143 swing high.

It is testing the 23.6% Fib retracement level of the recent rally from the $110 low to $143 high. On the downside, there are many supports forming near the $130 level. More importantly, there is a connecting bullish trend line forming with support near $126 on the hourly chart of ETH/USD.

Ethereum Price
Ethereum Price

The 50% Fib retracement level of the recent rally from the $110 low to $143 high is also near the $126 level to act as a strong support along with the 100 hourly SMA. Therefore, a downside correction towards the $130 and $126 levels may perhaps find a solid buying interest in the near term.

Upside Extension

On the upside, Ethereum is facing a series of crucial hurdles, starting with $142 and up to $150. To move into an uptrend and start a strong rally, the price must settle above the $150 resistance level.

If not, it is likely to slide back towards the $126 and $122 levels in the coming sessions. The main support is now forming near the $120 level.

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 currently correcting lower from well above the 60 level.

Major Support Level – $130

Major Resistance Level – $142

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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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Created by industry experts and meticulously reviewed
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