Key Highlights
- ETH price made a nice upside move and broke the $648 resistance against the US Dollar.
- There was a break above a consolidation triangle pattern at $632 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is currently trading above $648 and the 100 hourly simple moving average, indicating a bullish bias.
Ethereum price recovered positively against the US Dollar and Bitcoin. ETH/USD must break the $666 resistance to extend gains in the near term.
Ethereum Price Support
After a decline to $595, ETH price started trading in a range around the $615 level against the US Dollar. It formed a base around $615 and later an upside wave was initiated. The price moved higher and broke the 23.6% Fib retracement level of the last downside move from the $710 swing high to $595 low. It cleared the path for more gains and the price moved above $630.
The most crucial break was above a consolidation triangle pattern at $632 on the hourly chart of ETH/USD. The pair gained traction and moved above the $648 resistance and the 100 hourly simple moving average. A close above $648 is a positive sign and signals that the price is back in a bullish zone. At the moment, the price is struggling to break the 61.8% Fib retracement level of the last downside move from the $710 swing high to $595 low at $666. A break above the stated $666 level is needed for more upsides in the near term. Above $666, the price may head towards $685-690.
Looking at the chart, if the price corrects lower from the current levels, the broken resistance at $648 may act as a support. Moreover, the 100 hourly SMA at $640 is also a decent support. The overall bias is positive above the $640 support.
Hourly RSI – The RSI is now well below the 60 level.
Major Support Level – $640
Major Resistance Level – $666
