Ethereum Price Inches Higher, Building Pressure for a Follow-Through

[Ben Graham]

Ethereum price failed to clear the $3,220 resistance and dipped. ETH is now attempting to recover and faces an uphill task near the $3,150 level.

• Ethereum started a downside correction below $3,220 and $3,200.
• The price is trading below $3,180 and the 100-hourly Simple Moving Average.
• There was a break above a connecting bearish trend line with resistance at $3,100 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could continue to move up if it stays above the $3,050 zone.

Ethereum Price Attempts Fresh Increase

Ethereum price failed to remain stable above $3,220 and dipped further, like Bitcoin. ETH price declined below $3,200 and $3,120 to enter a short-term bearish zone.

The price even dipped below $3,120. A low was formed at $3,050, and the price is now consolidating losses. It tested the 23.6% Fib retracement level of the recent decline from the $3,308 swing high to the $3,050 low. Besides, there was a break above a connecting bearish trend line with resistance at $3,100 on the hourly chart of ETH/USD.

Ethereum price is now trading below $3,180 and the 100-hourly Simple Moving Average. If the bulls can protect more losses below $3,050, the price could attempt another increase. Immediate resistance is seen near the $3,150 level.

The first key resistance is near the $3,180 level and the 50% Fib retracement level of the recent decline from the $3,308 swing high to the $3,050 low. The next major resistance is near the $3,210 level.

A clear move above the $3,210 resistance might send the price toward the $3,250 resistance. An upside break above the $3,250 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $3,300 resistance zone or even $3,320 in the near term.

Another Decline In ETH?

If Ethereum fails to clear the $3,180 resistance, it could start a fresh decline. Initial support on the downside is near the $3,080 level. The first major support sits near the $3,050 zone.

A clear move below the $3,050 support might push the price toward the $3,020 support. Any more losses might send the price toward the $3,000 region.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 zone.

Major Support Level – $3,050

Major Resistance Level – $3,180