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Breaking News: LINK Price Climbs Following Chainlink's Deal With US Commerce Department, Eyes $30
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Breaking News: LINK Price Climbs Following Chainlink's Deal With US Commerce Department, Eyes $30

Ethereum Showing Early Signs of Strong Recovery But 100 SMA Is The Key

Aayush Jindal
Aayush Jindal
1 year ago
2 mins read
Ethereum

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Ethereum is holding the main $200 and $198 support levels against the US Dollar. ETH price is currently testing the 100 hourly SMA and struggling to continue higher above $205.

  • Ethereum is facing a strong resistance near the $205 level and the 100 hourly SMA.
  • The price is likely to accelerate higher if it breaks the $205 resistance zone.
  • There was a break above a key bearish trend line with resistance near $202 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair might decline again towards $200 or $198 if it fails near the 100 hourly SMA.

Ethereum Price Testing 100 Hourly SMA

Ethereum price declined again below the $200 support zone. ETH price even spiked below the $198 support and settled below the 100 hourly simple moving average.

However, the decline was limited and the price found support near $196. It is currently rising and trading above the $200 pivot level. There was a break above the 23.6% Fib retracement level of the key decline from the $211 high to $196 low.

More importantly, there was a break above a key bearish trend line with resistance near $202 on the hourly chart of ETH/USD. Ether is now trading near a major hurdle at $204 and the 100 hourly simple moving average.

Ethereum Price
Ethereum Price

The 50% Fib retracement level of the key decline from the $211 high to $196 low is also acting as a resistance. If Ethereum gains pace above the 100 hourly SMA and clears the $205 resistance, there are chances of a sustained upward move in the coming sessions.

The next major resistance is near the $210 level (an inflection zone). A clear break above the $210 resistance could open the doors for a sharp rise in the coming sessions in the near term.

Another Rejection?

If Ethereum struggles to gain pace above the 100 hourly SMA and the $205 resistance, it could start a fresh decline. The main support zone is near the $198 level.

If there is a successful daily close below the $198 level could open the doors for a larger decline. The next key support is near the $192 level, below which it could slide towards the $180 zone.

Technical Indicators

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

Hourly RSI – The RSI for ETH/USD is now rising and it is well above the 50 level.

Major Support Level – $198

Major Resistance Level – $205

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Risk disclaimer: 76.4% of retail CFD accounts lose money.

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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.

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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

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

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