Ethereum corrected lower below $1750 against the US Dollar. ETH has been doing well above $1,680 and is looking for a new rally above $1,750.
- Ethereum is trading in a bullish zone above the $1,680 and $1,700 levels.
- The price is now trading near $1,720 and the 100 hourly simple moving average.
- There is a major bullish flag formation forming with resistance near $1,730 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair must cross $1,750 to continue rising towards $1,850 in the near term.
Ethereum price aims higher
Ethereum Gained a pace above $1,700 and $1,720. ETH even broke the $1750 level, but there was no test of the $1800 resistance area. A top formed near $1,788 before the price started a downward correction.
There was a move below the $1750 level and Simple moving average per 100 hours. The price fell below the 23.6% Fib retracement level of the upward move from the $1,490 swing low to $1,788 high. The price of Ether even fell below the $1,700 level.
However, the bulls were active near the $1,680 level. The price is now rising and trading above $1700. It is trading near $1,720 and the 100 hourly simple moving average.
On the upside, the price is facing resistance near the $1,730 level. There is also a major bullish flag pattern forming with resistance near $1,730 on the hourly chart of ETH/USD. The next major resistance is near the $1750 level. A clear break above $1750 could push the price towards the $1,780 level.
Source: ETHUSD on TradingView.com
Any further gains could open the door for a move towards the resistance level at $1,850 in the near term. If the bulls continue to move, the price may pump towards the $1,880 level.
Dips Limited in ETH?
If Ethereum fails to rise above the $1750 resistance, it may start a downside correction. There is initial support on the downside near the $1,680 region.
The next major support is near $1,650. It is close to the 50% Fib retracement level of the upward move from the swing low of $1,490 to the high of $1,788. A break-down below the $1,650 support level could lead to further losses. In the aforementioned case, the price of Ether might drop towards the $1600 level.
MACD per hour – ETH/USD’s MACD is gaining momentum in bullish territory.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Key Support Level – $1,680
Key Resistance Level – $1750