- There was no stopping Ethereum price, as it continued to trade higher and moved towards the $6.50 levels.
- Our plan of selling with a break failed, as there was no break below the trend line support area.
- Yesterday’s highlighted bullish trend line on the hourly chart (data feed via Kraken) is still in play and acting as a barrier for a downside move.
Ethereum price traded towards $6.50. It looks like buyers are in control and if there is a successful close above the $6.50 level, then $7.0 is possible.
Ethereum Price – Continuous Upside
Ethereum price failed to move down, and made a nice bullish move higher. The price moved above the $6.0 level and traded close to the $6.50 levels. The last couple of hourly candles looks impressive and it looks like there are chances of it gaining traction further moving ahead. Yesterday, I highlighted a bullish trend line on the hourly chart (data feed via Kraken), and was looking for a sell trade if the price moves and closes below it.
However, there was no close below the highlighted trend line and support area, but in fact the same acted as a barrier for sellers. If the current trend continues, then there is a chance of Ethereum price heading further higher. On the downside, an initial support can be around the 23.6% Fib retracement level of the last wave from the $4.00 low to $6.49 high.
The most important support is near the trend line area. Only an hourly close below it may take the price further down in the near term. On the upside, the next stop for buyers could be around $6.80.
Hourly MACD – The MACD is in the bullish zone, and signaling more gains for Ethereum price.
Hourly RSI – The RSI is around the extreme overbought levels, calling for a minor correction.
Intraday Support Level – $6.30
Intraday Resistance Level – $6.80
Charts courtesy of Kraken via Trading View