- Ethereum price gained bullish momentum above the $212 and $220 resistances against the US Dollar.
- ETH price is currently consolidating gains after it traded towards the $236 level.
- There is a crucial ascending channel forming with support near $224 on the 4-hours chart (data feed from Coinbase).
- The price is likely to climb above $235 and $240 as long as it is above the $220 support area.
Ethereum price is trading with a bullish bias above $220 against the US Dollar. ETH price could continue to rise towards $240 and $250 in the coming days.
Ethereum Price Analysis
In the past few days, there was a steady rise from the $197 swing low in Ethereum price against the US Dollar. The ETH/USD pair broke many important resistances near $210 and $212 to move into a positive zone. Moreover, there was a close above the $220 level and the 55 simple moving average (4-hours). It opened the doors for more gains above the $230 level. Finally, the price traded towards the $236 level and recently started a short term downside correction.
It broke the $235 and $232 levels. However, the correction found support near the $227 level. Moreover, the 23.6% Fib retracement level of the upward move from the $197 low to $237 swing high is acting as a support. More importantly, there is a crucial ascending channel forming with support near $224 on the 4-hours chart. If there is a downside break below the channel support, the price could test the $220 support.
However, the main support is near the $218 level and the 55 simple moving average (4-hours). Moreover, the 50% Fib retracement level of the upward move from the $197 low to $237 swing high is also near the $218 level. Therefore, the $218 and $220 levels might act as strong buy zones. On the upside, an initial resistance is near the $236-237 area.
A successful close above the $237 resistance might push the price towards the $240 and $245 level. The next key resistance is near the $250 level, above which the price could test the $262 level.
Looking at the chart, Ethereum price is trading with a positive bias above the $224 and $220 support levels. Therefore, there are high chances of more upsides above $237 and $240 in the near term. Only a daily close below the $220 support might negate the current bullish view.
Technical indicators
4 hours MACD – The MACD for ETH/USD is placed nicely in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is currently correcting lower towards 55.
Key Support Levels – $224, followed by the $220 zone.
Key Resistance Levels – $237 and $250.
