Ethereum has started a decent recovery wave above $1,180 against the US dollar. If ETH breaks the $1,250 resistance, a new decline is likely to start.
- Ethereum has struggled to pick up the pace for a move above the $1,230 resistance level.
- The price is currently trading above $1,170 and the 100 hour simple moving average.
- A short-term bullish flag has formed with resistance near $1,200 on the ETH/USD hourly chart (data feed via Kraken).
- Without a clear move above $1,230 and $1,250, the pair could start a new downtrend.
Ethereum Price Faces Rejection
Ethereum price, like Bitcoin, has started a wave of recovery above the $1,150 resistance. ETH rose above his $1,200 resistance and settled above the 100-hour simple moving average.
However, there was no test of the $1,230 resistance zone. It fell slightly below $1,200 levels. It is now approaching the 23.6% Fib retracement level of the move from the swing low of $1,073 to the high of $1,215.
It is currently trading above $1,170 and the 100 hour simple moving average. The ETH/USD hourly chart also has a short-term bull flag forming resistance near $1,200. The immediate resistance to the upside is near the $1,200 level and the channel trend line.
Source: ETHUSD on TradingView.com
The next big resistance is near $1,230. The key breakout zone is around $1,250. The price must break out of $1,250 to enter the positive zone. In this case, the Ether price could probably move higher towards the $1,320 resistance zone. Any further gains could open the door to a test of the $1,400 resistance zone.
Another drop in ETH?
If Ethereum fails to break out of the $1,230 resistance, another drop could start. The first support on the downside is near $1,170 and the 100 hour simple moving average.
The next major support is near $1,150 or the 50% Fib retracement level of the move from swing lows of $1,073 to highs of $1,215. In the above scenario, the price could fall towards his $1,070 support zone.
Hourly MACD – The ETH/USD MACD is currently gaining momentum in the bearish zone.
Hourly RSI – The ETH/USD RSI is currently below the 50 level.
Major Support Level – $1,150
Major Resistance Level – $1,230
Ethereum Price Recovery Could Fade Soon If ETH Doesn’t Break Above $1,250
Source link Ethereum Price Recovery Could Fade Soon If ETH Doesn’t Break Above $1,250