Ethereum gained momentum above the $2,700 resistance. According to technical analysis by NewsBTC’s Aayush Jindal, it could continue to rise if there is a clear move above the $2,800 resistance.
Ethereum Continues to Find Support
Ethereum managed to clear the $2,750 resistance area after forming a bottom above the $2,650 level and settled well above the 100 hourly simple moving average. A local top was formed near the $2,814 level and it is currently consolidating gains below $2,800. ETH tested the $2,750 level and the 23.6% Fib retracement level of the recent rise from the $2,479 low to $2,814 high.
There is also a key bullish trend line forming with support near $2,640 on the hourly chart of ETH/USD. Briefly, ETH is trading in a positive zone above $2,700 and the 100 hourly simple moving average.
An immediate resistance is near the $2,785 level. The first major resistance is near the $2,800 level. A close above the $2,800 resistance could push the price higher. In the stated case, ETH could climb above the $2,850 zone. The next key hurdle for the bulls could be $2,920. Any further gains could push ETH into the $3,000 resistance zone in the coming sessions.
Is Ethereum Dropped?
Jindal says that if Ethereum fails to rise above the $2,800 resistance, it could start a downside correction. According to him, an initial support is near the $2,735 level. An initial key support is currently formed near the $2,645 level. This is close to the 50% Fib retracement level of the recent move from the $2,479 high to $2,814 high. If there is a downside break below the $2,645 level, it could decline towards the $2,550 level.
What Are Technical Indicators Saying?
- Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
- Hourly RSI – The RSI for ETH/USD is still above the 50 level.
- Main Support Level – $2,645
- Main Resistance Level – $2,800
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