Ethereum gained pace above the $1,940 resistance area against the US dollar. Even ETH rose above $2000 and may extend gains in the near term.
- Ethereum started a recovery wave above the $1,920 and $1,940 levels.
- The price is now trading above $1,920 and the 100 hourly simple moving average.
- There is a solid bullish trend line forming with support near $1,975 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could extend its gains if there is a close above the $2000 resistance area.
Ethereum price up 5%
Ethereum kept supported above the $1,850 level. There has been a steady increase and the bulls have managed to push the price above the $1,920 resistance area.
The price even jumped above the resistance level at $1,940 and settled above the resistance level 100-hour simple moving average. Finally, there was a rally above the $2000 resistance and the price traded higher to $2010. Ether is now consolidating its gains near the $2000 level.
It is trading above the 23.6% Fib retracement level of the upward move from the $1,874 swing low to $2,010 high. There is also a solid bullish trend line forming with support near $1,975 on the hourly chart of ETH/USD.
Source: ETHUSD on TradingView.com
On the upside, there is an initial resistance near the $2000 level. The next major resistance is near the $2,040 level. A correct break above the $2,040 resistance could push the price even higher. In the mentioned case, the price of Ether could rise towards the $2,120 resistance area. Any further gains could lead it towards the $2,200 resistance area.
Dips Limited in ETH?
If Ethereum fails to continue rising above the $2000 resistance, it may start a downside correction. There is initial support on the downside near the $1,975 area and the trendline.
The next major support is near the $1,940 level. It is close to the 50% Fib retracement level of the upward move from the swing low of $1,874 to the high of $2,010. A break-down below the $1,940 level could push the price towards $1,900. The next major support is near $1,860 and the 100 hourly simple moving average.
MACD per hour – ETH/USD’s MACD is losing momentum in bullish territory.
Hourly RSI – The RSI for ETH/USD is now well above the 60 level.
Key Support Level – $1,940
Key Resistance Level – $2000