A Key Trend Is Forming For Ethereum and A Swift Rally Could Occur

Aayush Jindal

1 year ago

2 mins read

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

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Ethereum is trading nicely above the key $140 support zone against the US Dollar. ETH price is showing a few positive signs and it could attempt to rally above $145.

Ethereum is currently consolidating above the $140 support area against the US Dollar.
The price is still struggling to gain bullish momentum above the $145 resistance.
There was a break above a major bearish trend line with resistance near $142 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start a strong increase as long as it is above the $140 support and the 100 hourly SMA.

Ethereum Price Could Rally Soon

Recently, Ethereum made another attempt to surpass the $145 resistance against the US Dollar, but it failed. ETH price formed a swing high near the $146 level and declined below $142.

However, the decline was protected by the main $140 support and 100 hourly simple moving average. The price is currently rising and trading nicely above the $142 level.

There was a break above the 50% Fib retracement level of the recent decline from the $146 swing high to $140 low. More importantly, there was a break above a major bearish trend line with resistance near $142 on the hourly chart of ETH/USD.

Ethereum tested the $145 resistance once again, but failed to extend its rise. It seems like the 76.4% Fib retracement level of the recent decline from the $146 swing high to $140 low is currently protecting an upside break.

If there is a clear break and close above the $145 resistance, the price could rise steadily above the $148 level. The next stop for the bulls could be near the $150 resistance, above which the price is likely to grind towards the $155 and $158 levels in the near term.

Dips Remain Supported

On the downside, Ethereum is likely to remain well bid above the $140 support area and the 100 hourly simple moving average. If the price fails to stay above the $140 support, it could start a nasty decline.

The next support is near the $135 level, below which there is a risk of a downside extension towards the main $124 support zone.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is slowly moving in the bullish zone.

Hourly RSI – The RSI for ETH/USD is currently declining and approaching the 50 level.

Major Support Level – $140

Major Resistance Level – $145

Take advantage of the trading opportunities with Plus500

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

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.

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.