Key Highlights
- ETH price extended its correction and moved above the $165 level against the US Dollar.
- Yesterday’s connecting bearish trend line with resistance at $166 on the hourly chart of ETH/USD (data feed via SimpleFX) was broken.
- The price is also above the $178 resistance zone, which is currently acting as a support.
Ethereum price has corrected substantially against the US Dollar and Bitcoin, and the ETH/USD pair is slowly gaining back the bullish momentum.
Ethereum Price Correction
There was an improvement in the market sentiment which is why ETH price corrected above $165 against the US Dollar. The price after trading as low as $136.55 started a decent correction. First, there was a move above the 23.6% Fib retracement level of the last decline from the $223.35 high to $136.55 low. It sparked an upside move above the $160 level as buyers managed to take control.
During the upside move, yesterday’s connecting bearish trend line with resistance at $166 on the hourly chart of ETH/USD was cleared. Later, the price gained momentum and broke the 50% Fib retracement level of the last decline from the $223.35 high to $136.55 low. It also settled above the $178 resistance and the 100 hourly simple moving average. All these are positive signs and suggest more gains above $170 in the near term. The broken resistance at $178-175 is currently acting as a support.
Moreover, there is a bullish trend line with support at $175 on the hourly chart. On the upside, the pair needs to break the 61.8% Fib retracement level of the last decline from the $223.35 high to $136.55 low at $190.92. Once it break $190, it may also be able to clear $200.00 for more upsides.
Hourly MACD – The MACD is placed well in the bullish zone.
Hourly RSI – The RSI is now above the 50 level and signaling gains.
Major Support Level – $170
Major Resistance Level – $190
Charts courtesy – SimpleFX