Ethereum price is correcting gains from the USD 2,350 resistance zone. ETH could start a new increase if it remains above the $2,200 support zone.
- Ethereum started a downward correction from the USD 2,350 resistance zone.
- The price is trading near USD 2,275 and the 100-hour Simple Moving Average.
- A major bearish trendline is forming with resistance near $2,285 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could attempt another rise unless there is a close below $2,200.
Ethereum price remains supported
Ethereum price once again failed to pace a move above the USD 2,350 level. ETH topped out at nearly $2,350 in the short term and recently began a downward correction, much like Bitcoin.
There was a move below the USD 2,320 and USD 2,300 levels. The price even peaked below $2,250. A low was formed around $2,247 and the price is now correcting higher. There was a move above the USD 2,265 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $2,326 swing high to the $2,247 low.
Ethereum is now near $2,275 and the 100-hour Simple Moving Average. On the upside, the price is facing resistance around the $2,285 level. There is also a major bearish trendline forming with resistance around $2,285 on the hourly chart of ETH/USD.
The trendline is close to the 50% Fib retracement level of the downward move from the $2,326 swing high to the $2,247 low. A close above the USD 2,285 resistance could send the price towards USD 2,350.
Source: ETHUSD on TradingView.com
A clear move above the $2,350 zone could trigger a big upside. The next resistance is at $2,420. Any further gains could trigger a surge towards the $2,500 level, above which Ethereum could rise and test the $2,550 zone.
Lose more in ETH?
If Ethereum fails to clear the USD 2,285 resistance, it could continue to decline. The initial downside support is near the $2,220 level.
The first major support could be the $2,200 zone. A downside break and a close below $2,200 could push the price further. In the said case, Ether could revisit the USD 2,170 support. Any further losses could send the price towards the USD 2,120 level in the coming sessions.
Technical indicators
hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major support level – $2,200
Major resistance level – $2,285
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