Ethereum’s price is poised for an upward breakout above the $1,650 level against the US Dollar, but it is imperative for ETH to maintain its position above $1,600 to initiate a potential upswing in the near future.
Ethereum is gradually ascending from the support zone around $1,620.
The current price stands above $1,632 and the 100-hourly Simple Moving Average.
On the hourly ETH/USD chart (data provided by Kraken), a bullish trend line is forming, offering support at approximately $1,622.
If the price manages to secure a close above the $1,650 resistance, it could set the stage for a sustained uptrend.
Ethereum’s Price Gears Up for a New Uptrend.
Ethereum’s price exhibited a series of fluctuations below the $1,650 resistance zone. Despite briefly surging toward $1,665, bearish forces remained in control, leading to a subsequent decline that retested the $1,600 support region.
Currently, Ethereum is once again on an upward trajectory, akin to Bitcoin’s movement. Ether is trading above $1,632, and it has found support from the 100-hourly Simple Moving Average. Additionally, there’s a connecting bullish trend line emerging, offering support around the $1,622 mark on the ETH/USD hourly chart.
On the upside, potential resistance looms around the $1,645 level. This point aligns closely with the 50% Fibonacci retracement level, calculated from the recent decline stretching from the $1,668 swing high to the $1,624 low.
Subsequently, the next resistance zone to watch is approximately at the $1,650 level, which corresponds to the 61.8% Fibonacci retracement level of the recent downward move from the $1,668 swing high to the $1,624 low. A successful breach of this level could pave the way for a push towards the $1,665 range. Beyond that lies a significant obstacle around the $1,700 level.
If Ethereum manages to secure a closing price above the $1,700 threshold, it could potentially trigger further upward momentum. The subsequent resistance level to monitor would likely emerge around $1,750. Subsequent gains could propel the price towards the $1,800 resistance zone.
Another Decline in ETH?
Should Ethereum encounter difficulty in surpassing the $1,650 resistance, it might trigger a renewed downward movement. Initial support on the downside is expected to materialize near the $1,630 level, coinciding with the presence of the 100-hourly Simple Moving Average.
The first significant support level is in close proximity to $1,620, aligned with the established trend line. Subsequently, a pivotal support point rests at $1,600. A breach below $1,600 could potentially shift control to the bears. The subsequent major support zone lies around $1,580, and if a downside break below this level occurs, the price may revisit the critical $1,540 support level.
Technical Indicators:
Hourly MACD – The MACD for ETH/USD is gradually gaining momentum within the bullish zone.
Hourly RSI – The RSI for ETH/USD is currently positioned above the 50 level.
Key Support Level – $1,600
Key Resistance Level – $1,650