Ethereum Price Eyes Fresh Rally Unless ETH Dips Below This Support

Positive signs are being seen above the $1550 support zone for Ethereum against the US dollar. ETH may start a new rally if it fails to break the $1,550 support area.

  • Ethereum consolidating, and showing positive signs over the $1.550 support zone.
  • The current price trades above $1,550 as well as the simple 100-hour moving average.
  • On the hourly chart for ETH/USD, there is an important contracting triangle with resistance at $1,600 (data feed via Kraken).
  • A new wave could be initiated if the pair makes it above $1,600.

Ethereum price supported for gains

After it began a downtrend from $1,665 the Ethereum price remained high. ETH fell below $1,580, however, the bulls were still active at the $1,550 mark.

Price tested key Fib retracement levels of main rise from $1,485 swing high to $1,665 low at 61.8%. Bulls protected more losses below $1,550 support and the 100-hourly simple moving average. Now, it has consolidated and is above $1,580.

On the hourly chart for ETH/USD, there is a contracting triangle that forms with resistance at $1,600. A triangle trend line zone and near $1,600 provide immediate resistance.

Ethereum Price

Source: ETHUSD

First, resistance lies near $1,620 or $1,625 levels. If the price breaks above these levels, it could retrace the $1.665 high. An obvious break above the $1,665 level may open up new opportunities for rallies. The price may even reach the $1,750 mark in the above scenario. The price could reach the $1,800 resistance level with any further gains.

Is there a Downside in Ethereum?

If the resistance of $1,600 is not broken, ethereum could slow move lower. The $1,570 support level is the first resistance. It also includes the 100 hourly simple moving mean.

It is located near $1,550. If the price falls below $1,550, it could be necessary to test the 76% Fib Retracement level that represents the major increase in the amount from $1,485 high to $1,665 low. If the market loses more, it could send the price to the $1.485 support zone.

Technical indicators

Hourly MACDMACD of ETH/USD has lost momentum and is currently in the bearish zone.

Hourly RSIThe RSI of ETH/USD has risen to above 50.

Major Support Level – $1,550

Major Resistance Level – $1,600

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