- Ethereum price extended its increase above the $2,500 resistance against the US Dollar.
- ETH price is now trading well above $2,400 and the 55 simple moving average (4-hours).
- There is a major bullish trend line forming with support near $2,520 on the 4-hours chart (data feed from Coinbase).
- The pair is consolidating gains and it might start a fresh increase above $2,600.
Ethereum price is showing positive signs above $2,400 against the US Dollar. ETH/USD must stay above the $2,440 support to continue higher in the near term.
Ethereum Price Analysis
In the past few days, ethereum started a steady increase above the $2,000 zone against the US Dollar. ETH price gained pace after it broke the $2,200 resistance zone.
There was a clear break above the $2,400 level and the 55 simple moving average (4-hours). The price accelerated higher above the $2,500 and $2,550 levels. It even spiked above the $2,650 level. A high was formed near $2,697 before the price corrected lower.
There was a break below the 23.6% Fib retracement level of the upward move from the $2,154 swing low to $2,697 high. The price is now consolidating above the $2,500 support zone.
There is also a major bullish trend line forming with support near $2,520 on the 4-hours chart. The next major support is near the $2,440 level. It is near the 50% Fib retracement level of the upward move from the $2,154 swing low to $2,697 high.
The main support is now forming near the $2,400 level and the 55 simple moving average (4-hours). Any more losses might start a fresh decline towards the $2,200 level.
On the upside, an initial resistance is near the $2,600 zone. The first major resistance is near the $2,650 level, above which the price is likely to resume its upward move in the near term. The next stop for the bulls could be near the $2,800 level.
Looking at the chart, Ethereum price is clearly trading well above the $2,400 zone and the 55 simple moving average (4-hours). Overall, ether price is consolidating gains and it might start a fresh increase above $2,600.
Technical indicators
4 hours MACD – The MACD for ETH/USD is slowly gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now approaching the 50 level.
Key Support Levels – $2,500, followed by the $2,440 zone.
Key Resistance Levels – $2,600 and $2,650.
