Ethereum price started a downside correction after it failed near $2,400. ETH is now consolidating and might aim for more gains if it clears $2,360.
- Ethereum started a downside correction below the $2,350 zone.
- The price is trading above $2,300 and the 100-hourly Simple Moving Average.
- There is a bearish trend line forming with resistance at $2,360 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to move up if it stays above the $2,295 zone.
Ethereum Price Aims Key Upside Break
Ethereum price managed to stay above the $2,250 support and started a fresh increase, like Bitcoin. ETH price gained pace for a move above $2,320 and $2,350.
However, the bears were active near $2,400. The last swing high was formed at $2,417 before there was a downside correction. The price dipped below the $2,320 level. The price even tested the 50% Fib retracement level of the upward move from the $2,180 swing low to the $2,417 high.
Ethereum price is now trading above $2,300 and the 100-hourly Simple Moving Average. If the bulls remain in action above $2,295, the price could attempt another increase.
Immediate resistance is seen near the $2,360 level. There is also a bearish trend line forming with resistance at $2,360 on the hourly chart of ETH/USD. The first key resistance is near the $2,380 level. The next major resistance is near the $2,420 level. A clear move above the $2,420 resistance might send the price toward the $2,450 resistance. An upside break above the $2,450 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $2,500 resistance zone or even $2,550 in the near term.
Another Decline In ETH?
If Ethereum fails to clear the $2,360 resistance, it could start a downside correction. Initial support on the downside is near the $2,295 level. The first major support sits near the $2,265 zone or the 61.8% Fib retracement level of the upward move from the $2,180 swing low to the $2,417 high.
A clear move below the $2,265 support might push the price toward the $2,220 support. Any more losses might send the price toward the $2,200 region. The main support could be $2,150.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $2,295
Major Resistance Level – $2,360
