Ethereum price is expected to break through the $2,900 level. ETH must stabilize above $2,900 and $2,940 to continue higher in the short term.
- Ethereum is forming a base above the $2,860 support area.
- The price is trading below $2,950 and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance at $2,905 on the hourly chart of ETH/USD (data feed via Kraken).
- If there is a close above the $2,940 and $2,950 resistance levels, the pair could start a sharp rise.
Ethereum price sees fresh rise
Ethereum price struggled to stabilize above $3,000 and started another decline, just like Bitcoin. ETH is trading below the $2,950 and $2,940 support levels.
The price is even less than $2,900. However, bulls are once again active near the $2,860 support area. A low was formed at $2,860 and the price is now consolidating losses. It is slowly rising above $2,885.
Ethereum is currently trading below $2,950 and the 100 hourly simple moving average. Immediate resistance lies near $2,900. There is also a key bearish trend line forming with resistance at $2,905 on the hourly chart of ETH/USD. The trendline is close to the 23.6% Fib retracement level of the recent swing high from $2,992 to $2,860 low.
An upward break above the trendline could push the price towards the $2,925 level and the 100 hourly simple moving average. The first major resistance level is seen near $2,940, which is the 61.8% Fibonacci retracement level of the recent swing high of $2,992 to low of $2,860.
Source: ETHUSD on TradingView.com
The next key resistance is $2,950, above which the price is likely to gain traction and rise towards $3,000 levels. If there is a clear break above the $3,000 level, the price may rise and test the $3,050 resistance. Any further gains could push Ethereum towards the $3,150 resistance zone.
ETH falling again?
If Ethereum fails to break the $2,925 resistance, it may start another decline. Initial support on the downside is near $2,880.
The first major support is located near the $2,860 area. The next support is near $2,810. A clear break below the $2,810 support could push the price towards $2,740. Any further losses could push the price towards $2,650 levels in the short term.
Technical indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
hourly relative strength index – The RSI for ETH/USD is currently below the 50 level.
Major Support – $2,860
Major Resistance – $2,925
