Ethereum Retreats From $2K, Why ETH Remains Strong Above $1,850
Ethereum traded to a new all-time high near $2,040 before correcting lower against the US Dollar. ETH price is trading nicely above $1,850 and it is likely to continue towards $2,000.
- ETH price climbed higher steadily and it surpassed the main $2,000 resistance against the US Dollar.
- The price is trading nicely above the $1,850 level and the 100 simple moving average (4-hours).
- There is a key bullish trend line forming with support near $1,860 on the 4-hours chart of ETH/USD (data feed via Kraken).
- The pair is likely to continue higher above the $1,980 and $2,000 levels in the near term.
Ethereum is Gaining Momentum
This past week, bitcoin and ethereum saw a steady increase above $1,900 and $50,000 respectively against the US Dollar. ETH even cleared the key $2,000 resistance level to move further into a positive zone.
It traded to a new all-time high near $2,040 and settled well above the 100 simple moving average (4-hours). Recently, there was a short-term downside correction below the $2,000 and $1,950 support levels. Ether price even spiked below the $1,850 support level.
Source: ETHUSD on TradingView.com
However, the bulls were active near the $1,820 level. A low is formed near $1,813 and the price is currently rising. There was a break above the 50% Fib retracement level of the recent correction from the $2,040 high to $1,813 low.
There is also a key bullish trend line forming with support near $1,860 on the 4-hours chart of ETH/USD. An immediate resistance on the upside is near the $1,950 level. It coincides with the 61.8% Fib retracement level of the recent correction from the $2,040 high to $1,813 low.
A clear break above the $1,950 and $1,980 levels will most likely open the doors for more gains. Besides, a daily close above $2,000 will most likely pump the price towards $2,150 and $2,200.
Dips Supported in Ether (ETH)?
If Ethereum struggles to gain pace above the $1,950 level, it could correct lower. The first major support on the downside is near the trend line support and $1,850.
A downside break below the trend line support may possibly call for an extended decline below the $1,813 low. The next major support is near the $1,760 level or the 100 simple moving average (4-hours).
Technical Indicators
4 hours MACD – The MACD for ETH/USD is slowly gaining momentum in the bullish zone.
4 hours RSI – The RSI for ETH/USD is still above the 50 level.
Major Support Level – $1,850
Major Resistance Level – $2,000
OhNoCrypto
via https://www.ohnocrypto.com
Aayush Jindal, @KhareemSudlow
