Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Ethereum corrected lower and tested $1,600 against the US Dollar. ETH is holding the $1,610 support and might attempt a fresh increase.
- Ethereum corrected lower, but the bulls are active near the $1,600 zone.
- The price is now trading below $1,640 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1,640 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start another increase if it stays above the $1,600 support zone.
Ethereum Price Eyes Fresh Increase
Ethereum price started a downside correction below the $1,660 support, similar to bitcoin. ETH extended its decline below the $1,620 level, but the bulls were active near the $1,600 zone.
The bears made two attempts to push the price below $1,600, but they failed. A low is formed near $1,605 and the price is now recovering losses. It cleared the $1,620 level. There was a move above the 50% Fib retracement level of the recent decline from the $1,657 swing high to $1,605 low.
Ether price is now trading below $1,640 and the 100 hourly simple moving average. An immediate resistance is near the $1,640 level and the 100 hourly simple moving average. There is also a major bearish trend line forming with resistance near $1,640 on the hourly chart of ETH/USD.
The trend line is close to the 61.8% Fib retracement level of the recent decline from the $1,657 swing high to $1,605 lo. The next major resistance is near the $1,655 level. An upside break above the $1,655 resistance zone could spark a fresh increase.
Source: ETHUSD on TradingView.com
In the stated case, the price may perhaps rise towards the $1,700 resistance. Any more gains might send ether price towards the $1,780 resistance zone.
Downside Break in ETH?
If ethereum fails to clear the $1,640 resistance, it could continue to move down. An initial support on the downside is near the $1,620 level.
The next major support is near the $1,600 zone. If there is a break below $1,600, the price might accelerate lower towards the $1,565 support. Any more losses might call for a test of the $1,530 support.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now near the 50 level.
Major Support Level – $1,600
Major Resistance Level – $1,640
