Key Highlights
- ETH price is slowly on the rise above the $675 support zone with positive signs against the US Dollar.
- There is a monster contracting triangle forming with current resistance near $712 on the 4-hours chart of ETH/USD (data feed via Kraken).
- The pair has to break the triangle resistance and settle above $712 for an upside acceleration.
Ethereum price is slowly moving higher versus the US Dollar and Bitcoin. ETH/USD must clear a huge sell wall near the $712-714 zone for more gains in the near term.
Ethereum Price Resistance
There were mostly downsides in ETH price this past week from the $730 swing high against the US Dollar. The price declined and moved below the $700, $675 and $660 support levels. It even traded close to the $650 level and formed a low at $655.67. Later, it found buyers and started an upside move from $655.67. It moved higher and broke the $675 resistance level.
It also succeeded in moving above the 50% Fib retracement level of the last drop from the $741.41 high to $655.57 low. However, there is a crucial barrier for buyers near the $712-714 zone. More importantly, there is a monster contracting triangle forming with current resistance near $712 on the 4-hours chart of ETH/USD. Furthermore, the current wave struggled near the 76.4% Fib retracement level of the last drop from the $741.41 high to $655.57 low. Therefore, a break above the $712-714 zone is must for further gains in ETH in the near term.
The above chart indicates that the price is approaching a key breakout above $712. If sellers fail to defend the triangle resistance, the price could surge higher and move towards $760. On the downside, the $675 triangle support holds a lot of importance.
4-hours MACD – The MACD is slowly moving in the bullish zone.
4-hours RSI – The RSI is currently just above the 50 level with ranging signals.
Major Support Level – $675
Major Resistance Level – $712