Ethereum price started a major rally above the $2,000 resistance. ETH is now correcting gains from $2,150 and might decline to $2,000.
- Ethereum started a fresh upward move above the $1,950 zone.
- The price is trading above $2,000 and the 100-hourly Simple Moving Average.
- There was a break above a bearish trend line with resistance at $1,920 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a fresh decline if it stays below the $2,120 zone.
Ethereum Price Rallies Over 15%
Ethereum price managed to form a base and traded above the $1,920 resistance, like Bitcoin. ETH price rallied above the $2,000 and $2,020 resistance levels.
There was a break above a bearish trend line with resistance at $1,920 on the hourly chart of ETH/USD. The bulls even pumped the price above $2,100. A high was formed at $2,158 before there was a sharp downside correction. The price dipped below the 23.6% Fib retracement level of the upward move from the $1,792 swing low to the $2,158 high.
Ethereum price is now trading above $2,000 and the 100-hourly Simple Moving Average. If the bulls remain in action above $2,000, the price could attempt another increase. Immediate resistance is seen near the $2,080 level.
The first key resistance is near the $2,120 level. The next major resistance is near the $2,150 level. A clear move above the $2,150 resistance might send the price toward the $2,200 resistance. An upside break above the $2,200 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $2,250 resistance zone or even $2,320 in the near term.
Another Drop In ETH?
If Ethereum fails to clear the $2,120 resistance, it could start a fresh decline. Initial support on the downside is near the $2,000 level. The first major support sits near the $1,975 zone or the 50% Fib retracement level of the upward move from the $1,792 swing low to the $2,158 high.
A clear move below the $1,975 support might push the price toward the $1,930 support. Any more losses might send the price toward the $1,900 region. The main support could be $1,880.
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 above the 50 zone.
Major Support Level – $1,975
Major Resistance Level – $2,150
