Ethereum price is consolidating gains below the USD 1,850 resistance against the US dollar. ETH needs to stay above the USD 1,750 support to start a new increase.
- Ethereum is still struggling to gain pace for a move above $1,850.
- The price is trading above USD 1,770 and the 100-hourly Simple Moving Average.
- A major contracting triangle is forming with support near $1,780 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue its decline if it fails to hold above the $1,740 support.
Ethereum price remains within range
Ethereum failed to rise above the USD 1,850 level and started a downward correction. ETH corrected lower below USD 1,800, but the bulls remained active around USD 1,750.
A low was formed near $1,741 and the price is now making another attempt to gain pace, much like Bitcoin. There was a move above the USD 1,780 level. The price tested the 50% Fib retracement level of the downward move from the $1,866 swing high to the $1,741 low.
Ethereum is now trading above $1,770 and the 100-hourly Simple Moving Average. A major contracting triangle is also forming with support near $1,780 on the hourly chart of ETH/USD.
On the upside, the price is facing resistance around the $1,800 level. The first major resistance is near the $1,815 zone. It is close to the 61.8% Fib retracement level of the downward move from the $1,866 swing high to the $1,741 low.
Source: ETHUSD on TradingView.com
A close above the resistance at $1,815 could trigger a significant upside. In the mentioned case, Ether could revisit the USD 1,850 resistance. The next major resistance is near USD 1,865, above which the price could accelerate higher. In the mentioned case, the price could rise towards the USD 1,920 level. The main hurdle is at $2,000.
Another drop in ETH?
If Ethereum fails to clear the USD 1,815 resistance, it could trigger another decline. Initial downside support is near the $1,780 level, the 100-hour Simple Moving Average, and the trendline.
The next major support is at USD 1,740. A downside break below the USD 1,740 support could push the price further down. In the mentioned case, Ether could drop to the $1,700 level.
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 – $1,720
Major resistance level – $1,815
