Key Highlights
- ETH price traded higher and broke a major resistance at $385 against the US Dollar.
- There is a new connecting bullish trend line forming with support at $402 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is currently correcting lower, but it is likely to find support near $402 and $400.
Ethereum price is placed nicely against the US Dollar and Bitcoin. ETH/USD may continue to move higher as long as it is above the $400 level.
Ethereum Price Support
There was a decent buy zone formed near the $370 zone in ETH price against the US Dollar. The price started an upside move and traded above the $385 and $390 resistance levels. There was also a break above the $400 level, which cleared the path for more gains. It is now placed nicely above the $400 support and the 100 hourly simple moving average.
The last upside wave positive and the price even traded above the $422 level. A high was formed at $423.83 before the price started a downside correction. It moved down and traded below the 23.6% Fib retracement level of the last wave from the $384 low to $423 high. However, there are many supports on the downside above the $400 level. There is also a new connecting bullish trend line forming with support at $402 on the hourly chart of ETH/USD. The same trend line is close to the 50% Fib retracement level of the last wave from the $384 low to $423 high.
Therefore, any dips close to the $400 level remains supported. On the upside, the price has to gain momentum above the $422-423 zone. Above $423, the price could trade towards the $440 level in the near term.
Hourly MACD – The MACD is now moving nicely in the bullish zone.
Hourly RSI – The RSI is well above the 50 level with positive signs.
Major Support Level – $402
Major Resistance Level – $423
Charts courtesy – Trading View