Ethereum, the popular cryptocurrency, is currently trading in a range above the $1,875 level. However, it faces resistance below $1,910 and the 100-hourly Simple Moving Average (SMA). On the hourly chart of ETH/USD, there is a notable rising channel with support of around $1,885.
If the price remains below $1,920 for an extended period, it could experience a significant decline. Recently, Ethereum attempted to surpass the $1,900 level but failed to gain traction above the $1,920 resistance, following a similar pattern to Bitcoin.
While the price briefly dipped below $1,885, it managed to stabilize above $1,875, with a low formed near $1,877. Currently, it is slowly recovering above the $1,885 level, with the mentioned rising channel providing support.
The immediate resistance lies around the $1,900 level, which is close to the 50% Fibonacci retracement level of the recent decline from the $1,927 swing high to the $1,877 low. If Ethereum surpasses this hurdle, it may test the main resistance at $1,920.
Beyond $1,920, the next significant resistance level stands at $1,940. If the bullish momentum continues, Ethereum could potentially reach the $2,000 resistance in the near future.
However, if the cryptocurrency fails to break the $1,920 resistance, it might face downward pressure. The initial support on the downside is near $1,885, aligned with the channel trend line. A breach of this support could lead to further bearish momentum.
The first major support level sits at $1,875, and a drop below this level may signal a stronger bearish trend. The next substantial support is around $1,825, and a close below this level could push the price toward the $1,770 support level. In the event of more significant losses, the doors might open for a potential move toward the $1,720 support level.
As for technical indicators, the hourly Moving Average Convergence Divergence (MACD) for ETH/USD indicates weakening momentum in the bearish zone. The Relative Strength Index (RSI) for the pair is currently above the 50 level.
In summary, Ethereum’s price is experiencing a critical phase, with key resistance at $1,920 and vital support at $1,875. Traders and investors will closely monitor these levels to gauge the potential direction of the cryptocurrency’s movement in the coming days.
Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.