Ethereum Price Technical Analysis – ETH Testing Support

Key Highlights

  • ETH price after trading as high as $11.20 against the US Dollar found sellers and corrected lower.
  • There is a crucial bullish trend line formed on the hourly chart (data feed via SimpleFX) of ETH/USD, which is acting as a major support.
  • The same trend line is also around the 100 hourly simple moving average, acting as a buy area.

Ethereum price is currently correcting lower and testing a major support, which must hold if ETH/USD has to remain in an uptrend.

Ethereum Price Trend Line Support

Ethereum price ETH managed to trade higher once again towards the $11.20 level where it found offers. The price is currently under a correction phase and already below the 23.6% Fib retracement level of the last wave from the $10.31 low to $11.18 high. However, there are many support zones on the downside, which must come into action to rescue ETH buyers.

Currently, a major bullish trend line is formed on the hourly chart (data feed via SimpleFX) of ETH/USD is acting as a support. However, the most important point is that the 100 hourly simple moving average is just below the trend line. Moreover, the 38.2% Fib retracement level of the last wave from the $10.31 low to $11.18 high is also around the same support area. Overall, there is a crucial support area formed near $10.90-80.

Ethereum Price Technical AnalysisEthereum Price Technical Analysis

In my view, as long as the price is above the highlighted support area, it may bounce once again. A break below the same may be a bad news for the ETH buyers. In that situation, there is even a chance of a double top pattern emerging around the $11.20 level.

Hourly MACD – The MACD has moved into the bearish zone, but lacking momentum.

Hourly RSI – The RSI is also below the 50 level, which is not a good sign for the ETH.

Major Support Level – $10.80

Major Resistance Level – $11.20

 

Charts courtesy – SimpleFX

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

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