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Ethereum price is recovering, but the bears are not out of the woods yet

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Ethereum started a decent recovery wave above USD 1,150 against the US dollar. ETH is now approaching a major hurdle near the USD 1,230 and USD 1,250 levels.

  • Ethereum started an upside correction above the USD 1,120 and USD 1,150 resistance levels.
  • The price is now trading above the $1,150 and 100 hourly moving averages.
  • A major bullish trendline is forming with support near $1,190 on the ETH/USD hourly chart (data feed via Kraken).
  • The pair is likely to rise towards $1,230, but the bears are likely to take a strong stand.

Ethereum is facing price hurdles

Ethereum price formed a support base above the USD 1,070 level and started a recovery wave similar to bitcoin. ETH slowly moved higher and was able to clear the $1,150 resistance area.

The bulls pushed the price below the 61.8% Fib retracement level from the $1,231 high and $1,073 low. Ether price is now trading above $1,150 and the 100 hourly moving average. A major bullish trendline is also forming with support near $1,190 on the ETH/USD hourly chart.

The pair appears to be consolidating above the 76.4% Fibonacci retracement level from the downward move from the $1,231 swing high to the $1,073 low. On the upside, an immediate resistance is near the $1,220 level.

Source: ETHUSD at TradingView.com

The next major resistance is near the $1,230 level and the $1,250 area. To start a real recovery wave and gain bullish momentum, the price must consolidate above USD 1,250. A clear close above the USD 1,250 resistance could send the price towards the USD 1,320 resistance area. Any further gains could open the doors for a test of the $1,400 resistance area.

Also read  Bitcoin price seems poised for another move above $16.5K

New drop in ETH?

If Ethereum fails to climb above the USD 1,250 resistance, it could start a fresh decline. An initial support on the downside is near the $1,190 level and trendline.

The next major support is near the USD 1,150 level and the 100 hourly moving average, below which the Ether price could decline further. In the indicated scenario, the price could fall towards the $1,100 support area in the near term. Any further losses may require a move towards the key $1,070 support.

technical indicators

per hour mac , The MACD for ETH/USD is now gaining momentum in the bullish zone.

hourly rsi , The RSI for ETH/USD is now well above the 50 level.

Main Support Level – $1,150

Main resistance level – $1,250

source: newsbtc.com

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