Ethereum Breaking This Confluence Resistance Could Spark a Fresh Surge
Ethereum gained pace above the $2,700 resistance against the US Dollar. ETH price could extend gains if there is a clear move above the $2,800 resistance.
- Ethereum gained pace above the $2,650 and $2,750 resistance levels.
- The price is now trading above $2,700 and the 100 hourly simple moving average.
- There is a key bullish trend line forming with support near $2,640 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to rise if it clears the $2,800 resistance zone.
Ethereum Price Remains Supported
Ethereum remained formed a base above the $2,650 level and extended increase. ETH was able to clear the $2,750 resistance zone and settled well above the 100 hourly simple moving average.
The price even spiked above the $2,800 level and formed a high near the $2,814 level. It is now consolidating gains below the $2,800 level. It tested the $2,750 level and the 23.6% Fib retracement level of the recent increase from the $2,479 swing low to $2,814 high.
There is also a key bullish trend line forming with support near $2,640 on the hourly chart of ETH/USD. Overall, ether price is trading in a positive zone above $2,700 and the 100 hourly simple moving average.
An immediate resistance on the upside is near the $2,785 level. The first major resistance is near the $2,800 level. A proper close above the $2,800 resistance might push the price further higher. In the stated case, the pair could climb above the $2,850 zone.
Source: ETHUSD on TradingView.com
The next key barrier for the bulls may perhaps be $2,920. Any more gains might send the price towards the $3,000 resistance zone in the coming sessions.
Dips Limited in ETH?
If ethereum fails to continue higher above the $2,800 resistance, it could start a downside correction. An initial support on the downside is near the $2,735 level.
The first key support is now forming near the $2,645 level. It is near the 50% Fib retracement level of the recent increase from the $2,479 swing low to $2,814 high. If there is a downside break below the $2,645 level, the price move down towards the $2,550 level.
Hourly MACD – The MACD for ETH/USD is losing pace in the bullish zone.
Hourly RSI – The RSI for ETH/USD is still above the 50 level.
Major Support Level – $2,645
Major Resistance Level – $2,800