Home Cryptocurrency For Beginners Ethereum is About to See “Liftoff” if It’s Able to Hold One Crucial Level

Ethereum is About to See “Liftoff” if It’s Able to Hold One Crucial Level

by Coinwidow
79 views


Ethereum corrected lower from the $4,150 resistance zone against the US Dollar. ETH price is holding the $4,000 support and could start a fresh increase.

  • Ethereum is trading above the $4,000 and $4,050 support levels.
  • The price is trading above $4,040 and the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $4,100 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair must stay above $4,000 to continue higher in the near term.

Ethereum Price Holds Key Support

Ethereum attempted an upside break above the $4,150 resistance zone but failed. ETH started a downside correction and traded below $4,100.

There was a break below the 23.6% Fib retracement level of the upward move from the $3,895 swing low to $4,155 high. The price even spiked below $4,050 and the 100 hourly simple moving average. However, the bulls remained active near the $4,000 level.

The 50% Fib retracement level of the upward move from the $3,895 swing low to $4,155 high also acted as a support. It is now rising and trading above the 100 hourly simple moving average.

Ethereum Price

Source: ETHUSD on TradingView.com

An immediate resistance on the upside is near the $4,100 level. There is also a key bearish trend line forming with resistance near $4,100 on the hourly chart of ETH/USD. The next major resistance is near the $4,155 level. A clear upside break above the $4,155 level could start another major increase in the near term. In the stated case, the price could rise towards the $4,250 level. Any more gains could send the price towards the $4,350 level.

Dips Limited in ETH?

If ethereum fails to start a fresh increase above the $4,100 level, it could correct further lower. An initial support on the downside is near the $4,040 level and the 100 hourly SMA.

The first key support is now forming near the $4,000 level. A downside break below the $4,040 and $4,000 levels could put a lot of pressure on the bulls. In the stated case, the price could decline towards the $3,920 support zone in the near term.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is gaining pace in the bullish zone.

Hourly RSIThe RSI for ETH/USD is above the 50 level.

Major Support Level – $4,000

Major Resistance Level – $4,155

Related Articles