- ETH price decline recently and retested the key $231 support area declined against the US Dollar.
- The price started a decent rebound and recovered above the $240 and $242 levels.
- There is a major bearish trend line forming with resistance near $248 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair must clear the $248 and $250 resistances to continue higher in the coming sessions.
Ethereum price is currently recovering versus the US Dollar, but consolidating vs bitcoin. ETH must settle above the $250 barrier to continue higher towards $265 in the near term.
Ethereum Price Analysis
After a long struggle near the $265 level, Ethereum price started a downside correction against the US Dollar. The ETH/USD pair traded below the key $250 and $245 support levels. There was even a close below the $250 level and the 100 hourly simple moving average. The decline was such that the price tested the key $231 support area. A swing low was formed near $231.39 and the price recently started an upward move. It traded above the $240 level and the 23.6% Fib retracement level of the recent drop from the $257 high to $231 low.
The price is currently trading above $245, and the 50% Fib retracement level of the recent drop from the $257 high to $231 low. However, there is a strong resistance forming near $248 and $250. There is also a major bearish trend line forming with resistance near $248 on the hourly chart of ETH/USD. Moreover, the 100 hourly simple moving average is also acting as a hurdle along with the 61.8% Fib retracement level of the recent drop from the $257 high to $231 low.
Therefore, a close above the $248 and $250 resistance levels is must for a strong upward move. The next key resistance are near $255 and $265. Conversely, if the price fails to move above $250, it could retreat and decline back below $244. Besides, an immediate support below $244 is at $240. If there are more losses, the price may revisit the key $231 support area.
Looking at the chart, Ethereum price is clearly trading near a crucial juncture at $248-250. If it surpasses the $250 barrier, there could be more gains towards the $265 resistance level. Above $265, the next major hurdle for the bulls is near $280. On the downside, the main supports are near $240, $234 and $231.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is slowly losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is currently just above the 50 level, with a minor bearish angle.
Major Support Level – $231
Major Resistance Level – $250
