Key Highlights
- ETH price was able to move higher recently and it traded above the $850 resistance against the US Dollar.
- There are two key bullish trend lines forming with support at $840 and $790 on the hourly chart of ETH/USD (data feed via SimpleFX).
- The pair is currently correcting lower, but it remains supported above the $840 level.
Ethereum price gained solid bullish momentum against the US Dollar and Bitcoin. ETH/USD is now eyeing further gains above the $860 level.
Ethereum Price Support
Yesterday, we saw a solid upside move in ETH price above the $850 level against the US Dollar. The price traded to a new all-time high at $879.51 before it started a downside correction. An initial support on the downside is around the 23.6% Fib retracement level of the last wave from the $724 low to $879 high. There are very less chances of a substantial correction from the current levels below $810.
On the downside, there are two key bullish trend lines forming with support at $840 and $790 on the hourly chart of ETH/USD. The pair is currently consolidating above the first trend line and support at $840. It seems like the pair is preparing for more gains above $879. Once there is a break above the $879 high, the price could attempt a test of the $900 handle in the near term.
In terms of the support, the trend line support at $840 is important. Below $840, the price may test the 50% Fib retracement level of the last wave from the $724 low to $879 high at $801. Therefore, it is safe to say that ETH/USD remains well bid on the downside near $840 and $805.
Hourly MACD – The MACD is currently reducing the bullish slope, but remains nicely placed.
Hourly RSI – The RSI is currently moving lower from 65 towards the 50 level.
Major Support Level – $840
Major Resistance Level – $879
Charts courtesy – SimpleFX