Ethereum Price Aims Higher in Shadow of Bitcoin’s Dip

Ethereum price started a fresh increase above the $2,550 zone. ETH is now facing resistance near the $2,640 and $2,665 levels.

• Ethereum started a fresh increase above the $2,550 level.
• The price is trading above $2,550 and the 100-hourly Simple Moving Average.
• There is a key rising channel forming with support at $2,600 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could extend losses if it trades below the $2,600 support zone in the near term.

Ethereum Price Consolidates Gains

Ethereum price started a decent upward move above the $2,500 zone, beating Bitcoin. ETH price was able to climb above the $2,520 and $2,550 resistance levels.

The price even cleared the $2,600 resistance zone and tested the $2,665 level. A high was formed at $2,677 and the price is now consolidating gains. There was a minor move below the $2,620 level. The price dipped below the $2,620 level and the 23.6% Fib retracement level of the upward move from the $2,476 swing low to the $2,677 high.

Ethereum price is now trading above $2,550 and the 100-hourly Simple Moving Average. There is also a key rising channel forming with support at $2,600 on the hourly chart of ETH/USD.

On the upside, the price could face resistance near the $2,640 level. The next key resistance is near the $2,665 level. The first major resistance is near the $2,720 level. A clear move above the $2,720 resistance might send the price toward the $2,780 resistance.

An upside break above the $2,780 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $2,880 resistance zone or even $2,920 in the near term.

Downside Break In ETH?

If Ethereum fails to clear the $2,665 resistance, it could start a fresh decline. Initial support on the downside is near the $2,600 level. The first major support sits near the $2,575 zone and the 50% Fib retracement level of the upward move from the $2,476 swing low to the $2,677 high.

A clear move below the $2,575 support might push the price toward the $2,500 support. Any more losses might send the price toward the $2,420 support level in the near term. The next key support sits at $2,350.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 zone.

Major Support Level – $2,575

Major Resistance Level – $2,665