Ethereum (ETH) shows signs of a slow upward movement above the $1,850 zone. Currently trading above $1,870 and the 100-hourly Simple Moving Average, the cryptocurrency is forming a key bullish trend line with the support of around $1,855 on the hourly chart of ETH/USD (data feed via Kraken).
The recent short-term recovery wave started from the $1,830 zone, allowing ETH to regain ground above the $1,850 and $1,860 levels, following Bitcoin’s similar pattern. However, the $1,900 level continues to be a challenge for the bulls, with a high formed near $1,886, leading to a consolidation phase.
A slight decline below the 23.6% Fibonacci retracement level of the upward move from the $1,832 swing low to the $1,886 high has been observed. Nonetheless, Ethereum remains above $1,870 and the 100-hourly Simple Moving Average, indicating continued potential for upward movement.
The key bullish trend line on the hourly chart provides crucial support near $1,855. This trend line is also close to the 50% Fibonacci retracement level of the upward move, further reinforcing its significance.
Looking ahead, immediate resistance can be found around the $1,885 level, followed by the recent high at $1,900. The next major resistance lies near the $1,920 level. Breaking above this level could pave the way for a more significant increase, potentially leading to further resistance at $1,975 and even $2,000 in the near term.
On the flip side, a fresh decline may occur if Ethereum struggles to overcome the $1,900 resistance. The initial support level on the downside is around $1,865, aligned with the 100-hourly SMA.
A more critical support level sits at $1,855, where the bullish trend line converges. A break below this level could push the price into a bearish zone. In such a scenario, the next significant support is expected around the $1,830 level.
Regarding technical indicators, the hourly Moving Average Convergence Divergence (MACD) for ETH/USD shows a loss of bullish momentum, while the hourly Relative Strength Index (RSI) is currently above the 50 level, indicating a positive sentiment.
Ethereum’s price is gradually climbing, but it faces significant resistance around $1,900. A successful breach of this level could lead to further gains, potentially surpassing the $2,000 hurdle in the near future. However, failure to overcome the resistance might trigger a downward movement, with key support levels to watch at $1,855 and $1,830. Traders and investors must closely monitor these levels to gauge the cryptocurrency’s next move.