Ethereum price signals exhaustion in the uptrend, but dips can be attractive

Ethereum price is struggling to break the USD 2,550 resistance. ETH could initiate a downside correction if there is a move below the $2,475 support.

  • Ethereum is consolidating gains below the USD 2,550 resistance zone.
  • The price is trading above USD 2,480 and the 100-hourly Simple Moving Average.
  • There was a break below a connecting bullish trendline with support at $2,515 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could start a new rise if it remains above the $2,475 support zone.

Ethereum price remains supported

Ethereum price rose steadily after breaking the USD 2,420 resistance. ETH climbed above $2,450 and $2,500 but underperformed Bitcoin. Finally, the bears appeared near the $2,550 zone.

It made a high near USD 2,536 and the price is now consolidating gains. There was a small decline below the USD 2,500 level. There was also a break below a connecting bullish trendline with support at $2,515 on the hourly chart of ETH/USD.

Ethereum is still trading above the 23.6% Fib retracement level from the recent rise from the $2,282 swing low to the $2,536 high. It is also trading above $2,480 and the 100-hourly Simple Moving Average.

If a new increase occurs, the price could rise above the $2,520 level. On the upside, the first major resistance is around the $2,550 level. The next major resistance is near USD 2,620, above which the price could rise and test the USD 2,680 resistance.

Ethereum price

Source: ETHUSD on TradingView.com

If the bulls stay in action, they could even push the price above the USD 2,750 resistance. In the mentioned case, the price could rise to the USD 2,800 level.

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Are dips supported in ETH?

If Ethereum fails to clear the USD 2,550 resistance, it could initiate a downward correction. Initial downside support is near the $2,475 level and the 100-hourly SMA.

The next major support could be the $2,460 zone. A clear move below the $2,460 support could send the price towards $2,400 or the 50% Fib retracement level from the recent rise from the $2,282 swing low to the $2,536 high. The main support could be at USD 2,380. Any further losses could send the price towards the USD 2,280 level.

Technical indicators

hourly MACDThe MACD for ETH/USD is losing momentum in the bullish zone.

RSI per hourThe RSI for ETH/USD is now above the 50 level.

Major support level – $2,475

Major resistance level – $2,550

Disclaimer: The article is for educational purposes only. It does not represent NewsBTC’s views on buying, selling or holding investments and of course investing involves risks. You are advised to conduct your own research before making any investment decisions. Use the information on this website entirely at your own risk.

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