Key Highlights
- ETH price gained traction and moved above the $690 and $700 resistance levels against the US Dollar.
- There is a key connecting bullish trend line formed with support at $704 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair has to stay above the $704 support and the 100 hourly simple moving average to move higher.
Ethereum price is back in a positive zone against the US Dollar and Bitcoin. ETH/USD has to remain above the 100 hourly SMA to extend gains above $715.
Ethereum Price Support
The past few sessions were mostly positive for ETH price as it moved above the $690 and $700 resistance levels against the US Dollar. The price even spiked above the $720 level, but it failed to extend gains towards $740. A high was formed at $724.80 before the price started a downside correction. It declined and moved below the $720 and $715 levels.
During the decline, there was a break below the 23.6% Fib retracement level of the last wave from the $683.40 low to $724.80 high. However, there are many supports on the downside above the $700 level. There is also a key connecting bullish trend line formed with support at $704 on the hourly chart of ETH/USD. The same trend line is positioned near the 50% Fib retracement level of the last wave from the $683.40 low to $724.80 high. More importantly, the 100 hourly simple moving average is near $700-702. Therefore, the price is likely to find strong bids near the $700-704 zone.
Looking at the chart, the price is likely to move higher as long as it is above $704 and the 100 hourly SMA. On the upside, a break above the recent high of $724 could open the doors for a push towards the $740 resistance.
Hourly MACD – The MACD is slightly placed in the bearish zone.
Hourly RSI – The RSI is struggling to hold the 50 level.
Major Support Level – $700
Major Resistance Level – $724