Ethereum is struggling below the $1.350 area against the US dollar. ETH could start a significant increase if it clears the $1350 and $1400 resistance levels.
- Ethereum is stable above the $1,260 and $1,250 support levels.
- The price is now trading below $1350 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1,350 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a steady increase if the key $1400 resistance area is cleared.
Ethereum price faces hurdles
Ethereum dropped from $1350 resistance area. However, ETH remained stable above the $1250 support area. The price traded as low as $1,269 and is currently consolidating losses.
Ether is slowly moving higher above the $1,300 level. It is testing the 50% Fib retracement level of the recent decline from the $1,348 swing high to $1,269 low. The price is now trading below $1350 and the 100 hourly simple moving average.
On the upside, the price is facing resistance near the $1,320 level and 100 hourly simple moving average. It is near the 61.8% Fib retracement level of the recent decline from the $1,348 swing high to $1,269 low.
The next major resistance is near the $1350 level. There is also a major bearish trend line forming with resistance near $1,350 on the hourly chart of ETH/USD. A clear break above $1350 may lead to a decent rally towards the $1400 level.
source: ETHUSD on TradingView.com
The 1.236 Fibonacci Extension Level of the recent decline from the $1,348 swing high to $1,269 low. Any further gains could open the door for a move towards the $1500 resistance level.
A new drop in ETH?
If Ethereum fails to recover above the $1350 resistance, it may start a new decline. There is initial support on the downside near the $1,288 level.
The next major support is near the $1270 level. A bearish break below the $1270 level may send the price towards the $1220 support level in the near term. Any further losses could trigger the selling and the price could drop to $1,150.
MACD per hour – ETH/USD’s MACD is losing momentum in bullish territory.
Hourly RSI – The RSI for ETH/USD is now just below the 50 level.
Key Support Level – $1,270
Key Resistance Level – $1,350