Ethereum gained pace for a move above the $1,300 resistance against the US Dollar. ETH is consolidating gains and might eye a fresh increase in the near term.
Ethereum was able to clear the $1,280 and $1,300 resistance levels.
Ethereum price is now trading above $1,280 and the 100 hourly simple moving average.
There was a break above a key contracting triangle with resistance near $1,275 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could correct lower, but the bulls might be active near $1,280 and $1,270.
Ethereum Price Breaks Hurdle
Ethereum price remained well bid above the $1,240 support zone. ETH formed a base above the $1,250 level and the 100 hourly simple moving average.
There was a strong increase above the $1,280 resistance after the US CPI release, similar to bitcoin. Besides, there was a break above a key contracting triangle with resistance near $1,275 on the hourly chart of ETH/USD. The pair even cleared the $1,300 resistance zone.
Ethereum price traded as high as $1,349 before the bears appeared. Recently, there was a downside correction below the $1,320 level. The price declined below the 23.6% Fib retracement level of the recent wave from the $1,240 swing low to the $1,349 high.
However, the bulls were active near the $1,300 support zone. It also stayed well above the 50% Fib retracement level of the recent wave from the $1,240 swing low to the $1,349 high.
Source: ETHUSD on TradingView.com
Immediate resistance on the upside is near the $1,325 level. The first major resistance is near the $1,345 and $1,350 levels. A close above the $1,350 resistance might start a fresh increase. The next major resistance could be $1,400. Any more gains might send the price toward the $1,500 resistance zone.
Dips Limited in ETH?
If Ethereum fails to climb above the $1,350 resistance, it could start another downside correction. Initial support on the downside is near the $1,295 level.
The next major support is near the $1,280 level and the 100 hourly simple moving average, below which the price could even retest the $1,260 support. Any more losses could lead the price toward the $1,245 support.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now well above the 50 levels.
Major Support Level – $1,280
Major Resistance Level – $1,350
