Key Highlights
- ETH price surged higher and broke a major resistance at $535-540 against the US Dollar.
- There is a major bullish trend line forming with support at $560 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair traded above the $588 level and it seems like it may continue to move higher.
Ethereum price accelerated gains against the US Dollar and Bitcoin. ETH/USD traded above the $580 level and it could even break surpass the $600 level.
Ethereum Price Support
The past few sessions were very positive as ETH price broke the $535 and $540 resistance levels against the US Dollar. The price extended gains above the $560 level and traded towards the $600 level. A high was formed recently at $589.08 before the price started a downside correction. It is currently trading near the 23.6% Fib retracement level of the last wave from the $506 low to $589 high.
However, there are many supports on the downside above the $560 level. There is also a major bullish trend line forming with support at $560 on the hourly chart of ETH/USD. The same trend line support is close to the 38.2% Fib retracement level of the last wave from the $506 low to $589 high. Therefore, if the price corrects lower from the current levels, the $560 level will most likely prevent declines. Below $560, the next major support is at $547, which is the 50% Fib level of the same wave.
Looking at the chart, the price is placed nicely in a bullish trend above $560. It may resume its uptrend soon and it could even break the recent high at $589. A successful break above the $589-590 resistance might open the doors for a push towards or above the $600 level.
Hourly MACD – The MACD is slightly reducing its bullish slope.
Hourly RSI – The RSI is currently correcting lower from the 80 level towards 60.
Major Support Level – $560
Major Resistance Level – $589