Ethereum declined close to 20% and it tested the $1,050 zone against the US Dollar. ETH price is currently recovering, but it might struggle near $1,200 and $1,250.

  • Ethereum declined heavily after it broke the $1,250 and $1,200 support levels.
  • The price is now correcting losses from $1,042, but it is well below the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $1,300 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could correct further, but the previous support near $1,250 is likely to act as a strong resistance.

Ethereum Price is Recovering Losses

In the past 3-4 sessions, there was a nasty decline in bitcoin and Ethereum below $32,000 and $1,200 respectively. ETH price nosedived almost 20% and it broke many supports such as $1,150 and $1,120.

Read Also:   Robinhood Restricts Crypto Purchases After Huge Spikes in Prices of $BTC and $DOGE

It traded close to $1,040 and settled well below the 100 hourly simple moving average. A low is formed near $1,042 and the price is currently correcting higher. There was a break above the $1,100 resistance level and the price is showing a few positive signs.

Ether is trading above the 23.6% Fib retracement level of the recent decline from the $1,389 swing high to $1,042 low. On the upside, the first key resistance is near the $1,200 level.

Ethereum Price

Source: ETHUSD on TradingView.com

The next resistance could be near $1,215 or the 50% Fib retracement level of the recent decline from the $1,389 swing high to $1,042 low. There is also a key bearish trend line forming with resistance near $1,300 on the hourly chart of ETH/USD.

Read Also:   Ethereum 2.0 Staking Reaches 100,000 ETH While Prices Hit 30-Month High – News

If there is a clear break above $1,215, the price is likely to face a strong selling interest near the $1,250 level in the coming sessions. Any more gains could open the doors for a fresh rally towards $1,400.

Fresh Dip in ETH?

If ethereum fails to recover above the $1,200 and $1,210 levels, there is a risk of a fresh decline. An initial support on the downside is near the $1,120 level.

The first major support is near the $1,100 level. The main support is now forming near the $1,050 level. If ether fails to stay above the $1,050 support, it could even decline below the $1,000 support level.

Read Also:   Bitcoin ETF: Morgan Stanley also involved

Technical Indicators

Hourly MACDThe MACD for ETH/USD is slowly gaining pace in the bullish zone.

Hourly RSIThe RSI for ETH/USD is currently rising towards the 40 level.

Major Support Level – $1,120

Major Resistance Level – $1,250


Download MAXBIT Android App, Your best source of all crypto news!
Google Play

Source link


Ethereum Starts Recovery, Why ETH Could Face Resistance Near $1,250

by Justin M. Ray
Choose A Format
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Meme
Upload your own images to make custom memes
Video
Youtube, Vimeo or Vine Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF
Gif
GIF format