Ethereum price is trading in a positive zone above $1,850 support against the US Dollar. ETH could rally toward $2,000 if it stays above the $1,880 support.
- Ethereum is consolidating and facing resistance near the $1,925 level.
- The price is trading above $1,850 and the 100-hourly Simple Moving Average.
- There is a key contracting triangle forming with resistance near $1,920 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could rally again if it clears the $1,925 resistance.
Ethereum Price Remains Supported
Ethereum’s price started a fresh increase from the $1,800 support zone. ETH gained pace and was able to settle above the $1,850 resistance zone, similar to Bitcoin.
The upward move was such that the price even cleared the $1,880 resistance. A high is formed near $1,940 and the price is now consolidating gains. It is trading near the 50% Fib retracement level of the recent increase from the $1,873 swing low to the $1,940 high.
Ether price is also well above $1,850 and the 100-hourly Simple Moving Average. Besides, there is a key contracting triangle forming with resistance near $1,920 on the hourly chart of ETH/USD.
Source: ETHUSD on TradingView.com
Immediate resistance is near the $1,925 level and the triangle region. A close above the $1,925 level might start a fresh rally. In the stated case, the price could rise toward the $1,960 resistance. Any more gains could send Ether toward the $2,000 resistance. Finally, if the bulls remain in action, there could be a drift toward the $2,120 level where the bears might take a stand and protect more gains.
Fresh Decline in ETH?
If Ethereum fails to clear the $1,925 resistance, it could start another decline. Initial support on the downside is near the $1,890 level and triangle trend line.
The next major support is near the $1,880 zone or the 100-hourly Simple Moving Average. It is close to the 76.4% Fib retracement level of the recent increase from the $1,873 swing low to the $1,940 high, below which ether price might revisit the $1,840 support zone. Any more losses may perhaps take the price toward $1,800 in the near term.
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is above the 50 level.
Major Support Level – $1,880
Major Resistance Level – $1,925
Aayush is a Senior Forex, Cryptocurrencies, and Financial Market Strategist. He specializes in market strategies and technical analysis and has spent over 15 years as a financial markets contributor and observer. He also founded an IT company and works rigorously in providing high-quality software services. Aayush possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the currency, commodities, Bitcoin, and Ethereum markets. Follow him on Twitter @AayushJs.