TA: Ethereum Looks Ready For Another Leg Higher Over $3,200
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Ethereum gained bullish momentum and cleared the $3,100 resistance against the US Dollar. ETH price could accelerate further if it clears the $3,200 resistance.
- Ethereum started a major increase and even settled above the $3,000 level.
- The price is now trading above $3,100 and the 100 hourly simple moving average.
- There was a break above a couple of short-term bearish trend lines at $3,000 and $3,080 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is now facing hurdle near $3,200, above which it could accelerate further higher.
Ethereum Price Eyes More Gains
Ethereum gained pace and was able to settle above the key $3,000 resistance zone. ETH remained in a positive zone above the $3,050 level and the 100 hourly simple moving average.
During the increase, there was a break above a couple of short-term bearish trend lines at $3,000 and $3,080 on the hourly chart of ETH/USD. The pair even broke the $3,120 resistance level and traded to a new yearly high at $3,190.
Ether price is now consolidating gains below the $3,190 level. There was a minor decline below the 23.6% Fib retracement level of the recent rally from the $2,950 swing low to $3,190 high.
Source: ETHUSD on TradingView.com
An immediate resistance on the upside is near the $3,160 level and a connecting bearish trend line on the same chart. A clear move above the $3,160 resistance could spark another increase. The next major hurdle is near the $3,200 level. A proper break above the $3,200 level might start a move towards the $3,350 and $3,380 levels in the near term.
Dips Limited in ETH?
If ethereum fails to continue higher above $3,160 or $3,180, it could start a downside correction. An initial support on the downside is near the $3,115 level. The first major support is near the $3,080 level.
It is near the 50% Fib retracement level of the recent rally from the $2,950 swing low to $3,190 high. A downside break below the $3,080 level might push the price further lower. The next major support is near the $3,000 level and the 100 hourly SMA, below which there is a risk of a major downside correction.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing pace in the bullish zone.
Hourly RSI – The RSI for ETH/USD is well above the 50 level.
Major Support Level – $3,080
Major Resistance Level – $3,200
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