Ethereum price is consolidating above the USD 2,550 resistance. ETH could gain bullish momentum if it breaks the USD 2,650 resistance zone.
- Ethereum is struggling to pace a move above the USD 2,650 level.
- The price is trading above $2,600 and the 100-hourly Simple Moving Average.
- A short-term contracting triangle is forming at resistance at $2,640 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could gain bullish momentum if there is a close above $2,650.
Ethereum price begins consolidation
Ethereum price remained steady above the USD 2,550 level. ETH formed a base and started a steady upward move above the $2,580 level, much like Bitcoin. There was a move towards the $2,665 level.
A high was made at $2,662 and the price is consolidating. There was a small pullback below the USD 2,600 level. The price fell below the 50% Fib retracement level of the upward move from the $2,536 swing low to the $2,662 high.
Ethereum price is now trading above $2,620 and the 100-hourly Simple Moving Average. If another rise occurs, the price may face obstacles near the USD 2,650 level. A short-term contracting triangle is also forming with resistance at $2,640 on the hourly chart of ETH/USD.
The first major resistance is around the $2,720 level. A close above the USD 2,720 level could send Ether towards the USD 2,750 resistance. The next major resistance is near USD 2,880. An upside break above the USD 2,880 resistance could send the price higher towards the USD 3,000 resistance zone in the near term.
Another drop in ETH?
If Ethereum fails to clear the USD 2,650 resistance, it could trigger another decline. The initial downside support is near $2,600. The first major support is near the $2,580 zone. The 61.8% Fib retracement level of the upward move from the $2,536 swing low to the $2,662 high is also close to the $2,580 level.
A clear move below the USD 2,580 support could push the price towards USD 2,550 where the bulls could emerge. Any further losses could send the price towards the USD 2,500 support level in the near term. The next major support is at $2,440.
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 zone.
Major support level – $2,580
Major resistance level – $2,650
