Key Highlights
- ETH price is holding the $220 support level very well against the US Dollar.
- There is a short-term connecting bearish trend line formed with resistance at $225 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair must clear the $225, $228 and $230 resistance levels to gain momentum in the near term.
Ethereum price remained above key supports against the US Dollar and bitcoin. ETH/USD is placed nicely for more gains above the $214 trend support.
Ethereum Price Analysis
Recently, there was a solid support base formed near the $219-220 zone in ETH price against the US Dollar. The ETH/USD pair started an upside move and settled above the $222 level. There was also a break above the 23.6% Fib retracement level of the recent decline from the $230 high to $220 low. Moreover, the price traded above the $224 level and settled above the 100 hourly simple moving average.
However, the upside move was capped by the $225-226 resistance zone. More importantly, there is a short-term connecting bearish trend line formed with resistance at $225 on the hourly chart of ETH/USD. Additionally, the 50% Fib retracement level of the recent decline from the $230 high to $220 low is also acting as a resistance. If buyers push the price above the trend line and $226, there could be more gains. The next major resistance on the upside above $226 is near the $230 level, which is also a significant pivot level. On the downside, an initial support is near the $222 level and the 100 hourly SMA.
Looking at the chart, ETH price is placed nicely above the $222, $220 and $214 support levels. As long as the price is above the $214 pivot level, there are chances of an upside move. In the mentioned case, the price will most likely move above the $225-226 resistance zone.
Hourly MACD – The MACD is slowly moving in the bullish zone.
Hourly RSI – The RSI is currently placed above the 50 level.
Major Support Level – $220
Major Resistance Level – $226
