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Ethereum Holding Ground Above Key Supports But Facing Uphill Task

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Ethereum Holding Ground Above Key Supports But Facing Uphill Task

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Ethereum is still holding the key $240 support zone against the US Dollar. ETH price is also facing an uphill task near the $248 and $250 resistance levels.

  • Ethereum is consolidating in a range above the $240 support and the 100 hourly simple moving average.
  • The price must gain strength above the $248 and $250 resistance levels.
  • There is a short term bullish trend line forming with support near $243 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to rise further as long as it is above the $240 support zone and the 100 hourly SMA.

Ethereum Price Could Rise Further

Ethereum price remained in a tight range below the main $250 resistance zone. ETH made an attempt to rise further, but it struggled to gain strength above the $248 level.

The recent high was near $248 before the price started declining. It broke the $244 level, plus the 50% Fib retracement level of the wave from the $241 low to $248 high.

However, there are many supports on the downside starting with $242. There is also a short term bullish trend line forming with support near $242 on the hourly chart of ETH/USD. The trend line is close to the 76.4% Fib retracement level of the wave from the $241 low to $248 high.

Ethereum Price

Ethereum Price

If ether price breaks the trend line support, there is a decent support waiting near the $242 level and the 100 hourly simple moving average. On the upside, there is a major hurdle forming near the $248 and $250 levels.

If there is a successful close above the $250 resistance, the price could start a strong increase. The next major hurdle could be near the $260 and $262 levels.

Bearish Move in ETH

The breakdown support seems to be forming near the $240 level and the 100 hourly simple moving average. If Ethereum fails to stay above the $240 support, there is a risk of a sharp downside extension.

The next key support is seen near the $232 level. Any further losses may spark a major decline towards the $220 support zone in the coming days.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is slowly moving in the bearish zone.

Hourly RSIThe RSI for ETH/USD is currently just above the 50 level.

Major Support Level – $240

Major Resistance Level – $250

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