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- ETH price started a decent recovery after it tested the $180 support area against the US Dollar.
- The price is currently struggling to break a major resistance area near the $195 level.
- There is a key contracting triangle forming with resistance near $194 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair remains at a risk of a fresh decline until it breaks the $194 and $195 resistance levels.
Ethereum price is facing a couple of important resistances versus the US Dollar and bitcoin. ETH could start another bearish wave if its breaks the $186 support level.
Ethereum Price Analysis
Recently, ETH price declined sharply below the $195 and $190 support levels against the US Dollar. Moreover, the price traded below the $184 support and tested the $180 support. Finally, the bulls managed to protect further losses and the price recently started an upside correction above the $185 level. There was a break above the 50% Fib retracement level of the last key decline from the $204 swing high to $180 low.
Additionally, Ethereum managed to climb above the $190 resistance and 100 hourly simple moving average. However, the previous major support near $195 acted as a strong resistance and prevented further upsides. It seems like the 61.8% Fib retracement level of the last key decline from the $204 swing high to $180 low also acted as a major resistance for the bulls.
At the moment, the price is correcting lower towards the $190 support. More importantly, there is a key contracting triangle forming with resistance near $194 on the hourly chart of ETH/USD. Therefore, the price seems to be preparing for the next break either above the $195 resistance or below the $188 level. On the upside, a clear break above the $195 resistance could push Ether higher in the coming sessions towards $200.
Conversely, if there is a downside break below the $188 and $185 supports, the price is likely to resume its decline. The next major support is near the $180 level. If there are additional losses, the price is likely to aim the $170 support area in the near term.
Looking at the chart, Ethereum price is clearly trading near a major resistance at $195. It could climb above $195 and rise sharply towards the $200 and $202 resistance levels. On the other hand, the bulls might continue to struggle and there might be another drop towards the $180 level or lower.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is slowly gaining pace in the bearish zone.
Hourly RSI – The RSI for ETH/USD is currently sliding towards the 50 level.
Major Support Level – $185
Major Resistance Level – $195
