Ethereum Rally Takes Breather But Dips Remain Attractive


Ethereum extended its rally above the $1,550 resistance level against the US Dollar. ETH is correcting gains but dips may find bids near $1,460.

  • Ethereum gained bullish momentum and surpassed the $1,550 resistance.
  • The price is now trading above $1500 and the 100 hourly simple moving average.
  • There is a major bullish trend line forming with support near $1,420 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could continue to rise if there is a clear move above the $1600 region.

Ethereum price hike extended

Ethereum I gained pace After there was a clear move above the $1350 and $1400 levels. ETH cleared the $1500 resistance area to move further into positive territory.

The price even rose above the $1,550 resistance area and settled above the resistance area Simple moving average per 100 hours. Ether price even rose above the $1600 level and traded to a new multi-week high at $1,633. It is now correcting gains below the $1600 level.

There was a move below the 23.6% Fib retracement level of the recent rally from the $1,327 swing low to $1,633 high. However, there are several supports near $1,460. There is also a major bullish trend line forming with support near $1,420 on the hourly chart of ETH/USD.

Ethereum price

Source: ETHUSD on TradingView.com

There is an immediate resistance on the upside near the $1,530 level. The first major resistance is near the $1,550 area. A clear move above the $1,550 level could lead the price higher. The next major barrier is near the $1,620 level, and above it the price is gaining strength and rising towards the $1,700 resistance area.

Dips Limited in ETH?

If Ethereum fails to rise above the $1,550 resistance, it may start a downside correction. There is initial support on the downside near the $1480 area. The next major support is near the $1,460 area.

The 50% Fib retracement level of the recent rally from the swing low of $1,327 to the high of $1,633 is also nearing $1,460. Any further losses may push the price of Ether below trendline support. In the mentioned case, the price could drop towards the $1360 level or the 100 hourly simple moving average.

Technical Indicators

MACD per hourETH/USD’s MACD is losing momentum in bullish territory.

Hourly RSIThe RSI for ETH/USD is moving towards the 50 level.

Key Support Level – $1,420

Key Resistance Level – $1550



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