Ethereum’s price rose after Bitcoin, testing $1,850 against the US dollar. ETH is correcting gains, but the bulls could remain active around $1,750.
- Ethereum started a downside correction from the USD 1,850 resistance.
- The price is trading above USD 1,750 and the 100-hourly Simple Moving Average.
- A major bullish trendline is forming with support near $1,755 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new rise unless there is a clear move below $1,750.
Ethereum price remains supported
Ethereum started a strong rise above the USD 1,750 resistance. Bitcoin dragged ETH higher towards the $1,850 resistance before the bears appeared.
A high is formed near USD 1,849 and the price is now correcting gains. It traded below the 23.6% Fib retracement level of the upward move from the $1,659 swing low to the $1,849 high. However, the price is still trading in a positive zone.
Ethereum is now trading above $1,750 and the 100-hourly Simple Moving Average. There is also a major bullish trendline forming with support near $1,755 on the hourly chart of ETH/USD. The trendline is near the 50% Fib retracement level of the upward move from the $1,659 swing low to the $1,849 high.
Source: ETHUSD on TradingView.com
On the upside, the price is facing resistance around the $1,805 level. The first major resistance is near the $1,850 zone. The next major resistance is near USD 1,880. A close above the USD 1,880 resistance could send the price rising further. The next major resistance is USD 1,950, above which the price could accelerate higher. In the mentioned case, Ether could test the main barrier of $2,000. Any gains could open the doors for a move towards $2,200.
Lose more in ETH?
If Ethereum fails to clear the USD 1,805 resistance, it could continue to decline. The initial downside support is near the $1,780 level.
The next major support is USD 1,750 and the trendline zone. A downside break below the USD 1,750 support could push the price further down. In the mentioned case, Ether could drop to the $1,720 level. Any further losses could perhaps send Ether towards the $1,700 level and the 100-hourly Simple Moving Average.
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 above the 50 level.
Major support level – $1,750
Major resistance level – $1,805
