Ethereum Price Weekly Analysis – Can ETH Gain Further?

Key Highlights

  • Ethereum price after heavy losses this past week against the US Dollar found support below $10.00 and started recovering.
  • There is a major support trend line formed on the daily chart (data feed via Kraken) of ETH/USD, which is acting as a barrier for the bears.
  • As long as the price is above the trend line support, there is a chance of more gains in the near term.

Ethereum price after a lot of struggle finally established a support, and may trade higher once again if the bulls gain control.

Ethereum Price Support

Ethereum price ETH after a downside move against the US dollar below the $10.00 level found support, as the bulls managed to prevent any additional weakness. The price started recovering and it looks like the ETH/USD pair is forming a base for the next move higher.

If we look at the daily chart (data feed via Kraken) of ETH/USD, then there is a major bullish trend line formed, which may act as a catalyst for the next move. As long as the price is above the trend line support, the chances of ETH/USD trading higher are very high. The only problem is the price is struggling to close above the 100-day simple moving average, which is acting as a major hurdle for the upside move.

Ethereum Price Weekly Analysis

Ethereum Price Weekly Analysis

On the upside, an initial resistance above the 100-day SMA is around the 23.6% Fib retracement level of the last drop from the $21.20 high to $9.30 low. A break and close above the 100-day SMA may call for more gains in the near term.

Daily MACD – The MACD is in the bearish slope, but may move into the bullish zone if there is a change in momentum.

Daily RSI – The RSI is around the oversold readings, calling for a correction.

Major Support Level – $10.00

Major Resistance Level – $12.00

 

Charts courtesy of Kraken via Trading View

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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