Ethereum Price Technical Analysis – Can ETH/USD Bounce Back?

Key Highlights

• ETH price declined below the $295 support against the US Dollar before finding support.
• Yesterday’s highlighted connecting bearish trend line with resistance at $301 was broken on the hourly chart of ETH/USD (data feed via SimpleFX).
• The price might struggle to gain momentum and likely to correct lower towards $300 once again.

Ethereum price is slowly recovering against the US Dollar and Bitcoin. ETH/USD might struggle to move above $318-324 in the near term.

Ethereum Price Resistance

There was a sharp decline in ETH price below $310 against the US Dollar. The price traded below the $300 and $295 support levels and traded as low as $285.99. A low was formed and the price started an upside correction from $285.99. During the upside, the price was able to break the 23.6% Fib retracement level of the last decline from the $350.52 high to $285.99 low.

The best part was a break above yesterday’s highlighted connecting bearish trend line with resistance at $301 on the hourly chart of ETH/USD. At the moment, the price is struggling to settle above the 38.2% Fib retracement level of the last decline from the $350.52 high to $285.99 low. Therefore, there are chances that the pair might dip once again towards the $300 handle before moving back higher.

On the upside, the most important resistance is near the 50% Fib retracement level of the last decline from the $350.52 high to $285.99 low at $318. Above $318, the 100 hourly simple moving average is positioned at $324. Therefore, the $318-324 levels might act as a strong resistance for buyers if the price continues to move higher. On the downside, the $300 level is a short-term support followed by $295.

Hourly MACD – The MACD is slowly moving back in the bullish zone.

Hourly RSI – The RSI is now back above the 50 level.

Major Support Level – $295

Major Resistance Level – $324

 

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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