The price of Ethereum started to rise significantly after Bitcoin gained strength against the US dollar. ETH is rising and could test the key resistance at USD 1,750.
- Ethereum started a decent rise above the USD 1,650 resistance.
- The price is trading above USD 1,660 and the 100-hourly Simple Moving Average.
- A major bullish trendline is forming with support near $1,645 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could rise further but could face strong resistance around $1,750.
Ethereum price reclaims $1,650
Ethereum remained above the USD 1,550 support zone. The recent pump in Bitcoin above the $28,500 resistance led to bullish moves in ETH. There was a steady rise above the USD 1,600 and USD 1,620 resistance levels.
The price has even crossed the key resistance zone at USD 1,650. A high is formed near USD 1,700 and the price is now consolidating gains. It is trading well above the 23.6% Fib retracement level of the upward move from the $1,620 swing low to the $1,700 high.
Ethereum is now trading above $1,660 and the 100-hourly Simple Moving Average. There is also a major bullish trendline forming with support near $1,645 on the hourly chart of ETH/USD. The trendline is close to the 61.8% Fib retracement level of the upward move from the $1,620 swing low to the $1,700 high.
On the upside, the price is facing resistance around the $1,700 level. The first major resistance is near the $1,720 zone. The next major resistance is $1,750 where the bears could emerge. To continue higher, the price needs to break above the USD 1,750 resistance.
Source: ETHUSD on TradingView.com
In the mentioned case, Ether could start a strong rise towards the USD 1,880 resistance. Any further gains could open the doors for a move towards $2,000.
Disadvantage correction in ETH?
If Ethereum fails to clear the USD 1,700 resistance, it could initiate a downward correction. The initial downside support is near the $1,660 level.
The next major support is USD 1,645 and the trendline zone. A downside break below the USD 1,645 support could push the price further down. In the mentioned case, the price could decline towards the $1,620 level and the 100-hourly Simple Moving Average. Any further losses could perhaps send Ether towards the USD 1,550 level.
Technical indicators
hourly MACD – The MACD for ETH/USD is gaining strength in the bullish zone.
RSI per hour – The RSI for ETH/USD is now above the 50 level.
Major support level – $1,645
Major resistance level – $1,700