Ethereum price is attempting an upside correction above $1,500 against the US Dollar. ETH could start another decline if there is no increase above $1,600.
- Ethereum is slowly moving higher above the $1,500 resistance.
- The price is now trading above $1,510 and the 100 hourly simple moving average.
- There was a break above a major bearish trend line with resistance near $1,515 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to move up if it clears the $1,600 resistance zone.
Ethereum Price Breaks Barrier
Ethereum price formed a decent support base above the $1,460 level. ETH started a steady increase after the US CPI release, similar to bitcoin. There was a clear move above the $1,500 resistance zone.
Besides, there was a break above a major bearish trend line with resistance near $1,515 on the hourly chart of ETH/USD. The pair even spiked above the $1,560 resistance zone. A high is formed near $1,569 and the price is now consolidating gains.
Ether price is now trading above $1,510 and the 100 hourly simple moving average. It is also above the 23.6% Fib retracement level of the upward move from the $1,464 swing low to $1,569 high.
Source: ETHUSD on TradingView.com
On the upside, the price is facing resistance near the $1,570 level. The next major resistance is near the $1,600 zone. An upside break above the $1,600 resistance zone could start a steady uptrend. In the stated case, the price may perhaps rise towards the $1,640 resistance. The next major resistance is near the $1,700 level.
Fresh Decline in ETH?
If ethereum fails to clear the $1,570 resistance or the $1,600 barrier, it could start another decline. An initial support on the downside is near the $1,530 level and the 100 hourly SMA.
The next major support is near the $1,500 zone or the 61.8% Fib retracement level of the upward move from the $1,464 swing low to $1,569 high. If there is a break below $1,500, the price might continue to drop and move towards the $1,460 support. Any more losses might call for a test of the $1,400 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,500
Major Resistance Level – $1,600