Ethereum price remained well-supported above the $2,050 zone against the US Dollar. ETH could gain bullish momentum if it clears the $2,125 resistance.
- Ethereum is showing positive signs but facing resistance near the $2,125 level.
- The price is trading above $2,050 and the 100-hourly Simple Moving Average.
- There is a key contracting triangle forming with resistance near $2,110 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could gain bullish momentum if there is a clear move above $2,125.
Ethereum Price Holds Support
Ethereum’s price started a downside correction from the $2,125 resistance zone. ETH declined below $2,100 but the bulls were active above $2,050, similar to Bitcoin.
It seems like Ether is stuck in a range with major resistance at $2,125. The recent low is formed near $2,071 and the price is now consolidating. There was a move above the $2,085 level and the price tested the 61.8% Fib retracement level of the recent decline from the $2,124 swing high to the $2,071 low.
Ether is trading above $2,050 and the 100-hourly Simple Moving Average. Immediate resistance is near the $2,110 zone. There is also a key contracting triangle forming with resistance near $2,110 on the hourly chart of ETH/USD.
The triangle resistance is close to the 76.4% Fib retracement level of the recent decline from the $2,124 swing high to the $2,071 low. The next major resistance is near the $2,125 zone. A close above the $2,125 resistance zone could start a fresh increase.
Source: ETHUSD on TradingView.com
In the stated case, the price could rise toward the $2,200 resistance. Any more gains could send Ether toward the $2,320 resistance in the near term.
Downside Break in ETH?
If Ethereum fails to clear the $2,125 resistance, it could react to the downside. Initial support on the downside is near the $2,070 level and the 100-hourly Simple Moving Average.
The next major support is near the $2,050 zone, below which ether price might decline heavily. In the stated case, the price could revisit $2,000. Any more losses may perhaps send the price toward $1,925.
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is near the 50 level.
Major Support Level – $2,050
Major Resistance Level – $2,125