- ETH price started a solid upward move after testing the $258 support area against the US Dollar.
- The price reversed most its losses, but it is still struggling to clear the $280 resistance area.
- There is a new connecting bullish trend line forming with support near $262 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair must break the $280 barrier to start a fresh increase towards the $300 and $305 levels.
Ethereum price is showing positive signs after the recent reversal versus the US Dollar, but consolidating vs bitcoin. ETH price is once again trading near the key $280 resistance area.
Ethereum Price Analysis
Recently, there was a major downside correction in Ethereum price below the $270 and $265 supports against the US Dollar. The ETH/USD pair even spiked below the $260 support and the 100 hourly simple moving average. However, the $258 level acted as a strong support and protected losses. As a result, there was a sharp upward move above $260 and $265. The price reversed most its gains and broke the 61.8% Fib retracement level of the last decline from the $276 high to $258 low.
The price is currently trading well above the $265 level and the 100 hourly simple moving average. It even climbed above the 76.4% Fib retracement level of the last decline from the $276 high to $258 low. However, the $276 and $280 resistance levels are still acting as a solid barriers for the bulls. If there is an upside break above the $274 and $276 levels, the price could start a strong upward move. The next key resistances are near $280 and $288.
On the downside, an initial support is near the $268 level. There is also a new connecting bullish trend line forming with support near $262 on the hourly chart of ETH/USD. Therefore, if there is a downside correction, the price is likely to find bids near $265 or $262. If there are further losses, the price might revisit the $258 support area in the near term.
Looking at the chart, Ethereum price is back above key supports and trading in a range above the $265 support. Having said that, the bulls need to take control and push the price above $274, $276 and $280. If they continue to struggle, there is a risk of more losses below the $262 and $258 support levels in the coming sessions.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is slowly moving into the bearish zone, with negative signs.
Hourly RSI – The RSI for ETH/USD is currently well above the 50 level, with positive signs.
Major Support Level – $262
Major Resistance Level – $276