Ethereum continues it’s upgoing rally and trades above it’s ATH of $ 4000.The ETH price still shows many positive signals. According to the technical analysis of NewsBTC’s Aayush Jindal:
- Ethereum pushed its rally above 3.900$ and reached the ATH close to 4.130.
- The price is currently trading well above 3.950$ and the 100 hourly simple moving average.
- There is a crucial bullish trend line formed with support near 3920$ on the hourly chart of ETH/USD (data from Kraken).
- The pair is likely to continue rising towards the 4150$ resistance levels.
What happened?
Ethereum remained well supported above the $ 3750 zone. The last low was formed around $ 3722 before the ETH price took off for a new high. It surpassed Bitcoin and broke the $ 3900 resistance to start a new rally.
It even broke above the $ 3950 level and linked bearish trend line on the hourly chart. The pair took the rally above 4000$ and climbed to an ATH near 4130$. The ETH price is currently trading well above $3950 and the 100 hourly simple moving average.
What happens next?
The first major resistance is near the 4150$ level. This represents the 1.168 Fib extension level of the downside move from 3985$ to 3722$. Further gains could determine the pace of a strong upward move towards the 4200$ and 4250$ levels in the near term. The next big stop for the bulls could possibly be 4500$. At this moment breaking the major resistance level is very close and might happen today.
Will it fall?
If Ethereum can’t continue to rise to 4150$, it could start a downside correction. The initial support on the downside is near the 3950$ level.
An initial major support is near the 3920$ level. There is a very important bullish trend line formed with support near 3920$ on the hourly chart of ETH/USD. If there is a downside break below the trend line, the pair could dive towards the 3800$ support zone.
Technical indicators
- Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bullish zone
- Hourly RSI – The RSI for ETH/USD is well above the 60 level
- Major Support Level – 3920 US Dollars
- Major Resistance Level – 4140 US Dollars
