- Ethereum price managed to gain this past week against the US Dollar, but gains were not convincing.
- There is a major ascending channel pattern formed on the 4-hours chart of the ETH/USD pair (data feed via SimpleFX), which is acting as a catalyst for an upside move.
- A break below it could ignite a corrective rally in ETH/USD, which won’t be good for buyers.
Ethereum price managed to stay in the positive zone versus the US Dollar, but the loss in momentum is worrying sign in the near term.
Ethereum Price Support
Ethereum price ETH somehow managed to stay above a major support area this past week versus the USD. However, the most important point is the fact that the buyers are losing momentum. The trading volumes should increase to favor the bulls in the near term, else there is a chance of a correction in the short term. On the downside, we need to keep a close watch on the $11.00 level as a support zone.
As mentioned in the highlight, there is a major ascending channel pattern formed on the 4-hours chart of the ETH/USD pair (data feed via SimpleFX). The highlighted pattern can be considered as a crucial factor for the current trend. As long as the price is in the channel, there are chances of it to remain in an uptrend. A break below it may ignite a correction.
The price is currently just flirting with the 100 simple moving average on the 4-hours chart. A successful close above it might encourage buyers to take the ETH/USD pair higher moving ahead.
4-hours MACD – The MACD is currently in the bullish zone, but there are signs of momentum loss.
4-hours RSI – The RSI is just below the 50 level, and waiting for the next move in the ETH to USD.
Major Support Level – $11.00
Major Resistance Level – $11.40
Charts courtesy – SimpleFX