Ethereum price is consolidating gains above the USD 2,575 support. ETH could start a big rally if there is a close above the $2,700 resistance.
- Ethereum is consolidating gains above the USD 2,575 support zone.
- The price is trading above USD 2,620 and the 100-hourly Simple Moving Average.
- A short-term breakout pattern is forming with resistance at $2,640 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new rise if it remains above the $2,575 support zone.
Ethereum price looks set for another surge
Ethereum price quickly rose above the USD 2,600 level and traded close to the USD 2,700 resistance zone. ETH traded as high as $2,681 before staging a downward correction.
There was a move below the USD 2,640 and USD 2,620 levels. The price fell below the 23.6% Fib retracement level of the upward move from the $2,472 swing low to the $2,681 high, like Bitcoin. However, the bulls were active near the $2,600 zone.
Ethereum found support at $2,600 and is currently attempting another increase. It is now trading above $2,620 and the 100-hourly Simple Moving Average.
The immediate resistance is near the $2,640 level. A short-term breakout pattern is also forming with resistance at $2,640 on the hourly chart of ETH/USD. The first major resistance is around the $2,680 level. The next major resistance is near USD 2,720, above which the price could rise and test the USD 2,800 resistance.
Source: ETHUSD on TradingView.com
If the bulls stay in action, they could even push the price above the USD 2,800 resistance. In the said case, the price could rise to the $3,000 level.
Another drop in ETH?
If Ethereum fails to clear the USD 2,640 resistance, it could trigger another decline. The initial downside support is near the $2,620 level.
The next major support could be the $2,600 zone. A clear move below the $2,600 support could send the price towards $2,575 or the 50% Fib retracement level of the upward move from the $2,472 swing low to the $2,681 high. The key support could be $2,550 or the 100 hourly SMA. Any further losses could send the price towards the USD 2,440 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 – $2,600
Major resistance level – $2,640
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