Ethereum’s price rose more than 5% and there was momentum towards $2,700. ETH is consolidating gains and could aim for a move towards $2,800 or $3,000.
- Ethereum is consolidating gains below the USD 2,700 resistance zone.
- The price is trading above $2,600 and the 100-hourly Simple Moving Average.
- There was a break above a bullish flag pattern with resistance at $2,500 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new rise if it remains above the $2,630 support zone.
Ethereum Price Begins New Rise
Ethereum price remained steady above the USD 2,420 resistance. ETH formed a base and started a new rise above the $2,500 resistance, outperforming Bitcoin.
There was a break above a bullish flag pattern with resistance at $2,500 on the hourly chart of ETH/USD. The pair gained over 5% and there was a clear move above the $2,600 resistance. It even went towards the USD 2,700 level. It made a high near USD 2,681 and the price is now consolidating gains.
There was a small decline below the USD 2,660 level. Ethereum is still trading above the 23.6% Fib retracement level from the recent rally from the $2,472 swing low to the $2,681 high. It is also trading above $2,620 and the 100-hourly Simple Moving Average.
If a new increase occurs, the price could rise above the $2,660 level. On the upside, 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.
Are dips limited in ETH?
If Ethereum fails to clear the USD 2,680 resistance, it could initiate a downward correction. The initial downside support is near the $2,630 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 recent rally, from the $2,472 swing low to the $2,681 high. The key support could be $2,520 or the 100 hourly SMA. Any further losses could send the price towards the USD 2,400 level.
Technical indicators
hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is now above the 50 level.
Major support level – $2,630
Major resistance level – $2,680
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