Ethereum price is showing positive signs above $2,000 against the US Dollar. ETH/USD rallied towards the $2,500 level and it is now correcting gains.
Ethereum Price Analysis
In the past few sessions, ethereum started a steady increase from well below $2,000 against the US Dollar. ETH price formed a base above the $1,720 level and it started a major recovery.
There was a clear break above the $2,000 level and the 55 simple moving average (4-hours). The price accelerated higher above the $2,200 and $2,300 levels. It even spiked above the $2,400 level. A high was formed near $2,444 before the price corrected lower.
There was a break below the 23.6% Fib retracement level of the upward move from the $1,722 swing low to $2,444 high. There was also a break below a key bullish trend line with support near $2,220 on the 4-hours chart.
The price is now trading near the $2,180 support zone. The first major support is near the $2,080 level. It is near the 50% Fib retracement level of the upward move from the $1,722 swing low to $2,444 high. The main support is now forming near the $2,000 level and the 55 simple moving average (4-hours).
Any more losses might start a fresh decline towards the $1,720 level. On the upside, an initial resistance is near the $2,250 zone. The first major resistance is near the $2,350 level, above which the price is likely to resume its upward move in the near term.
Looking at the chart, Ethereum price is clearly trading well above the $2,000 zone and the 55 simple moving average (4-hours). Overall, ether price is correcting gains, but it might find bids near the $2,000 zone.
Technical indicators
4 hours MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now near the 50 level.
Key Support Levels – $2,080, followed by the $2,000 zone.
Key Resistance Levels – $2,250 and $2,350.