Ethereum (ETH) In Corrective Increase But Downtrend Intact

Aayush Jindal

Last Updated: June 11, 2024 1:34 pm

2 mins read

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Ethereum is currently correcting higher from the $132 low against the US Dollar.
Bitcoin price is also recovering and it is now trading above the $7,000 level.
Yesterday’s major bearish trend line was breached with resistance near $145 on the hourly chart of ETH/USD (data feed via Kraken).
The price is likely to correct further higher, but the $155 resistance is likely to act as a hurdle.

Ethereum price is showing signs of an upside correction versus the US Dollar, similar to bitcoin. ETH price could only move into a positive zone once it breaks the $155 resistance.

Ethereum Price Analysis

Yesterday, there was a sharp decline in Ethereum below the $155 and $150 support levels against the US Dollar. Moreover, ETH price settled below the $155 pivot level and the 100 hourly simple moving average.

Finally, the price traded below the $140 support area and a new multi-month low was formed near the $132 level. Recently, the price started an upside correction above the $138 and $140 resistance levels.

Besides, yesterday’s major bearish trend line was breached with resistance near $145 on the hourly chart of ETH/USD. The price even spiked above the $150 level, but it struggled to climb above the 100 hourly simple moving average.

It is currently trimming gains below $150. Additionally, there was a break below the 23.6% Fib retracement level of the recent upside correction from the $132 low to $152 high.

It seems like there is a bullish flag pattern forming with resistance near the $150 level. If there is an upside break above the $150 and $152 levels, the price could test the main downtrend resistance near the $155 level.

A successful daily close above the $155 resistance is needed for a strong recovery. The next key resistances are near $168 and $170. On the downside, an initial support is near the $144 level.

The first key support is near the $142 area. It represents the 50% Fib retracement level of the recent upside correction from the $132 low to $152 high. Therefore, a downside break below the $142 support area could push the price lower towards the $135 and $132 levels.

Looking at the chart, Ethereum price is showing a few positive signs, but the $155 resistance is a major hurdle along with the 100 hourly SMA. Only a close above $155 could set the pace for a fresh increase in the near term.

ETH Technical Indicators

Hourly MACD – The MACD for ETH/USD is currently losing momentum in the bullish zone.

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

Major Support Level – $142

Major Resistance Level – $155

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.

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