Ethereum price is attempting a recovery wave above the $1,740 level against the US Dollar. ETH could rise steadily if there is a move above the $1,780 resistance.
- Ethereum is still below the $1,780 and $1,800 resistance levels.
- The price is trading below $1,780 and the 100-hourly Simple Moving Average.
- There was a break above a major bearish trend line with resistance near $1,740 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could recover if there is a move above the $1,780 and $1,800 levels.
Ethereum Price Forms Support Base
Ethereum’s price settled below the $1,775 and $1,780 resistance levels. ETH tested the $1,720 zone and is currently forming a support base, similar to Bitcoin.
A low is formed near $1,718 and the price is attempting a recovery wave. The price is slowly moving higher above the $1,740 level. There was a break above a major bearish trend line with resistance near $1,740 on the hourly chart of ETH/USD.
Ether is now testing the 23.6% Fib retracement level of the main drop from the $1,854 swing high to the $1,718 low. However, it is still trading below $1,780 and the 100-hourly Simple Moving Average.
Immediate resistance is near the $1,770 zone and the 100-hourly Simple Moving Average. The next major resistance is near the $1,785 level. It is close to the 50% Fib retracement level of the main drop from the $1,854 swing high to the $1,718 low.
Source: ETHUSD on TradingView.com
A proper move above the $1,770 and $1,785 resistance levels might send Ether toward $1,820. The next resistance sits near $1,850, above which Ethereum could rise toward the $1,880 level. Any more gains above the $1,880 resistance zone might send the price toward the $1,920 resistance.
Another Drop in ETH?
If Ethereum fails to clear the $1,770 resistance, it could start another decline. Initial support on the downside is near the $1,730 level.
The next major support is near the $1,720 level. If there is a break and close below the $1,720 support, the price could gain bearish momentum toward the $1,640 support. Any more losses may perhaps send the price toward the $1,600 zone.
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,720
Major Resistance Level – $1,780