Ethereum Price Pullbacks Fail to Scare Buyers, Momentum Tells a Story

[Ben Graham]

Ethereum price started a steady upward move above $3,120. ETH is now consolidating gains and might aim for more gains above $3,250.

• Ethereum started a fresh increase above $3,050 and $3,150.
• The price is trading above $3,200 and the 100-hourly Simple Moving Average.
• There is a short-term bullish trend line forming with support at $3,185 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could continue to move up if it clears the $3,250 zone.

Ethereum Price Remains Supported

Ethereum price started a fresh increase after it settled above the $3,050 zone, like Bitcoin. ETH price gained pace for a move above the $3,120 and $3,150 resistance levels.

The bulls even pumped the price toward $3,220. A high was formed at $3,264, and the price is now consolidating gains. It declined a few points below the 23.6% Fib retracement level of the recent increase from the $3,134 swing low to the $3,264 high.

Ethereum price is now trading above $3,200 and the 100-hourly Simple Moving Average. Besides, there is a short-term bullish trend line forming with support at $3,185 on the hourly chart of ETH/USD.

If the bulls are able to protect more losses below $3,150, the price could attempt another increase. Immediate resistance is seen near the $3,240 level. The first key resistance is near the $3,250 level. The next major resistance is near the $3,265 level.

A clear move above the $3,265 resistance might send the price toward the $3,350 resistance. An upside break above the $3,350 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $3,450 resistance zone or even $3,500 in the near term.

Downside Correction In ETH?

If Ethereum fails to clear the $3,250 resistance, it could start a fresh decline. Initial support on the downside is near the $3,200 level or the 50% Fib retracement level of the recent increase from the $3,134 swing low to the $3,264 high.

The first major support sits near the $3,185 zone and the trend line. A clear move below the $3,185 support might push the price toward the $3,120 support. Any more losses might send the price toward the $3,050 region.

Technical Indicators

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

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

Major Support Level – $3,185

Major Resistance Level – $3,250