Ethereum’s price faced resistance near $1,650 against the US dollar. ETH corrected gains, but the $1,620 support could spark another upward move.
- Ethereum is eyeing a major upside break above the USD 1,650 resistance.
- The price is trading above USD 1,625 and the 100-hourly Simple Moving Average.
- There was a break above a connecting bearish trendline with resistance near $1,625 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could gain bullish momentum if there is a close above $1,650 and $1,670.
Ethereum price aims higher
Ethereum price could further rise above the USD 1,620 resistance. However, ETH struggled to gain strength for a move above the $1,650 resistance like Bitcoin.
There was a downward correction below the USD 1,630 level. The price even peaked below $1,620, but the downsides were limited. A low was formed near $1,613 and the price is now heading higher. There was a break above the $1,620 level and the 23.6% Fib retracement level from the recent decline from the swing high of $1,652 to the low of $1,613.
Additionally, there was a break above a connecting bearish trendline with resistance around $1,625 on the hourly chart of ETH/USD. Ether is now trading above $1,625 and the 100-hour Simple Moving Average.
On the upside, the price could face resistance near the $1,635 level or the 76.4% Fib retracement level from the recent decline from the $1,652 swing high to the $1,613 low at $1,642. The next resistance is near the $1,650 level. A close above the USD 1,650 resistance could send the price towards the USD 1,670 resistance.
Source: ETHUSD on TradingView.com
If there is a close above $1,670, the price could start a strong increase. The next major hurdle is near the USD 1,750 level. A close above the USD 1,750 level could send Ethereum further higher towards USD 1,880.
Another drop in ETH?
If Ethereum fails to clear the USD 1,650 resistance, it could trigger another decline. The initial downside support is near the $1,620 level.
The first major support is close to $1,610. The next major support is at USD 1,585. A downward break below $1,585 could trigger a new bearish wave. In the mentioned case, the price could even drop to the $1,520 level in the short term.
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 – $1,610
Major resistance level – $1,650