Ethereum price is correcting gains from the $2,440 zone. ETH is correcting gains, but the bulls could remain active around the USD 2,300 and USD 2,240 support levels.
- Ethereum corrects gains and trades below the USD 2,400 level.
- The price is trading above USD 2,320 and the 100-hourly Simple Moving Average.
- A bullish flag is forming with resistance near $2,360 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new rise if a close above the $2,400 level occurs.
Ethereum price remains supported
Ethereum price climbed higher above the USD 2,320 resistance zone. ETH even broke the $2,400 level before the bears appeared. A high was formed around $2,441 before the price started a downward correction, much like Bitcoin.
There was a move below the USD 2,400 and USD 2,380 levels. The price fell and tested the 50% Fib retracement level of the upwave from the $2,180 swing low to the $2,441 high. The bulls seem to be active near the $2,320 support zone.
Ethereum is now trading above $2,320 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance around the $2,360 level. A bullish flag is also forming with resistance around $2,360 on the hourly chart of ETH/USD.
Source: ETHUSD on TradingView.com
The first major resistance is now near $2,400. A close above the USD 2,400 resistance could send the price towards USD 2,440. The next major resistance is near USD 2,500. A clear move above the $2,500 zone could trigger a new increase. The next resistance is at $2,620, above which Ethereum could rise and test the $2,750 zone.
Lose more in ETH?
If Ethereum fails to clear the USD 2,400 resistance, it could continue to decline. Initial downside support is near the $2,320 level and the 100-hourly SMA.
The first major support could be the $2,240 zone or the 76.4% Fib retracement level of the upward wave from the $2,180 swing low to the $2,441 high. A downside break and a close below $2,240 could trigger another big decline. In the said case, Ether could test the USD 2,165 support. Any further losses could send the price towards the USD 2,120 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 near the 50 level.
Major support level – $2,320
Major resistance level – $2,400
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