Ethereum Price Attempts Fresh Increase, Must Settle Above $1,620 and $1,650
Ethereum’s price is making an effort to rise above the $1,620 mark against the US Dollar. In order to initiate a significant increase, ETH needs to establish a stable position above $1,620 and $1,650.
Ethereum is currently in the process of recovering above the $1,600 level. The price is trading above $1,600 and the 100-hourly Simple Moving Average. Additionally, there is a key bullish trend line forming with support near $1,600 on the hourly chart of ETH/USD (data feed via Kraken). If the price manages to close above $1,620 and $1,650, it could potentially start a substantial increase.
Despite facing some resistance, Ethereum’s price has remained well-supported above the $1,580 level. Similar to Bitcoin, ETH formed a base above $1,600 and experienced a slight upward movement. Although there was a brief surge above the $1,620 level, the price was unable to sustain its momentum. A high was reached near $1,633, but a strong bearish reaction followed, causing the price to trim most of its gains and revisit the $1,580 zone. Currently, a low has been formed near $1,583, and the price is now on the rise.
At present, Ethereum is trading above $1,600 and the 100-hourly Simple Moving Average. The hourly chart of ETH/USD also reveals the presence of a key bullish trend line with support near $1,600. On the upside, the price may encounter resistance near the $1,608 level or the 50% Fib retracement level of the recent decline from the $1,633 swing high to the $1,583 low. The next major resistance level is $1,620, which is in close proximity to the 76.4% Fib retracement level of the aforementioned decline.
A push above $1,620 could potentially propel Ether even higher in the upcoming sessions. However, the main hurdle lies near the $1,650 and $1,660 levels. If the bulls succeed in surpassing the $1,660 hurdle, the price could experience a significant increase towards the $1,720 resistance level. Further gains might open the doors for a move towards $1,800.
On the other hand, if Ethereum fails to clear the $1,620 resistance, it could face another decline. The initial support on the downside is near the $1,600 level and the aforementioned trend line. If the price breaks below this support, it may test the $1,540 support level. A downside break below $1,540 could potentially trigger strong bearish movements, leading to a drop towards the $1,450 level.
In terms of technical indicators, the MACD for ETH/USD is currently losing momentum in the bearish zone, while the RSI is now above the 50 level.
Overall, Ethereum’s price is making an attempt to rise above key resistance levels. The outcome of this attempt will determine whether the price experiences a significant increase or faces another decline.
Source: ETHUSD on TradingView.com
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