Ethereum corrected a few points from the $1,633 high against the US Dollar. ETH remains well supported above the $1,480 level and could start a new rally.
- Ethereum entered a consolidation phase below the $1,600 resistance zone.
- The price is now trading above $1,500 and the 100 hourly simple moving average.
- A major bullish trend line is forming with support near $1,480 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue higher if there is a clear move above the $1600 area.
Ethereum Price Eyes More Benefits
Ethereum extended the rally above the $1,450 and $1,500 levels. ETH has authorized the Resistance zone at $1,550 move further into a positive zone.
The price even broke above the $1,600 resistance zone and settled well above the 100 hourly simple moving average. Ether price traded as high as $1,633 before there was a downside correction. There was a move below the $1,550 support zone.
The price fell below the 23.6% Fib retracement level of the upward movement from the low of $1,325 to the high of $1,633. However, the bulls were active above the $1500 support zone.
Additionally, a major bullish trend line is forming with support near $1,480 on the hourly chart of ETH/USD. The trendline is near the 50% Fib retracement level of the upward move from the $1,325 low to $1,633 high. An immediate upside resistance is near the $1,600 level.
Source: ETHUSD on TradingView.com
The first major resistance is seen near the $1,630 area. A clear move above the $1,630 level could trigger another major increase. The next key barrier is near the $1700 level, above which the price could strengthen and reach the $1800 resistance zone.
Dips supported in ETH?
If Ethereum fails to break above the $1,600 resistance, it could trigger a downward correction. An initial downside support is seen near the $1,520 area.
The next major support is near the $1,480 area and the trendline. Any further losses may even push the Ether price below the $1,450 support. In the indicated case, the price could drop towards the $1,400 level or the 100 hourly simple moving average.
Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,480
Major resistance level – $1,600