Ethereum extended its gains and traded towards USD 760 before correcting lower against the US dollar. ETH price is showing positive signs and it looks like $ 750- $ 760 will be released.
- Ethereum is trading in a positive zone and has recently rallied to a new annual high of $ 758.
- The price is now trading well above USD 730 and the 100 simple hourly moving average.
- A large bullish breakout pattern is forming with resistance near USD 760 on the ETH / USD hourly chart (data feed via Kraken).
- The pair is likely to remain above the USD 750 and USD 760 resistance levels in the near term.
Ethereum price offers more benefits
There was an upward extension in it bitcoin price above USD 29,000, pushing Ethereum above the USD 740 resistance level. In fact, the ETH price spiked above the USD 750 level and settled nicely above the 100 simple hourly moving average.
It traded towards a new annual high of $ 758 before starting a downside correction. There was a break below the $ 750 level. Ether price even spiked below the 50% Fib retracement level of the recent rise from the $ 715 swing low to $ 758 high.
Source: ETHUSD on TradingView.com
However, the bulls were able to defend the USD 730 zone. The price also remained stable above the 61.8% Fib retracement level of the recent swing low from $ 715 to the $ 758 high.
It looks like a major bullish breakout pattern is forming with resistance near USD 760 on the ETH / USD hourly chart. The pair is currently consolidating above USD 730 and it could aim for a fresh rise above USD 750. A clear break above the USD 760 resistance level could open the doors for more near-term gains. In the case mentioned, the bulls are likely to aim for a test of $ 800.
Dips supported in ETH?
If ethereum failed to clear the USD 760 resistance zone, it may correct lower. An initial support on the downside is near the bottom triangle trendline and $ 738.
A downside break below the triangle support trendline could move the ether price towards the USD 720 support zone. Even more losses may require a push to the $ 705 level and the 100 hourly SMA in the near term.
MACD per hour – The MACD for ETH / USD is showing positive signs in the bullish zone.
RSI per hour – The RSI for ETH / USD is currently close to the 50 level.
Major Support Level – $ 730
Major Resistance Level – $ 760