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HomeAltcoin NewsEthereum Price Analysis: ETH Signaling Fresh Bullish Break Above $240

Ethereum Price Analysis: ETH Signaling Fresh Bullish Break Above $240

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  • Ethereum price extended its decline below $235 and tested $230 against the US Dollar.
  • ETH price is currently recovering and trading well above the $232 support zone.
  • There is a major bearish trend line forming with resistance near $238 on the 4-hours chart (data feed from Coinbase).
  • The pair could start a strong increase if it clears the $238 and $240 resistance levels.

Ethereum price is holding the $232 and $230 support levels against the US Dollar. ETH/USD must surpass the $240 barrier to initiate a fresh rally in the near term.

Ethereum Price Analysis

After a close below the $240 support, Ethereum price extended its decline against the US Dollar. ETH price broke the $235 support and the 55 simple moving average (4-hours).

It tested the $230 support level and a swing low is formed near $229. The price is currently correcting higher and trading above the $232 level. Ether also broke the $235 level, and the 50% Fib retracement level of the downward move from the $245 high to $229 swing low.

However, the price seems to be facing a strong resistance near the $238 and $240 levels. There is also a major bearish trend line forming with resistance near $238 on the 4-hours chart.

The trend line is close to the 61.8% Fib retracement level of the downward move from the $245 high to $229 swing low. A successful break above the trend line might increase the chances of a fresh bullish wave above the $240 resistance in the near term.

The next major resistance is near the $248 and $250 levels, above which the bulls are likely to aim a test of the $265 level. Conversely, the price might struggle to clear $238 or $240.

In the mentioned bearish case, the price might decline below the $232 and $230 support levels. The next major support is seen near the $222 level, where the bulls might take a stand.

Ethereum Price
Ethereum Price

Looking at the chart, Ethereum price is clearly facing a couple of strong hurdles near the $238 and $240 levels. Therefore, the pair could start a strong increase if it clears the $238 and $240 resistance levels.

Technical indicators

4 hours MACD – The MACD for ETH/USD is slowly losing momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is just above the 50 level, with a minor bearish angle.

Key Support Levels – $232, followed by the $230 zone.

Key Resistance Levels – $238 and $240.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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