- ETH price failed to climb above the $240 resistance and declined against the US Dollar.
- The price declined below the key $220 support level, which may now act as a resistance.
- There is a major bearish trend line forming with resistance near $214 on the 4-hours chart of ETH/USD (data feed via Kraken).
- The pair could either climb back towards the $220 resistance or it might slide back to $200.
Ethereum price is currently attempting an upside break against the US Dollar, and recovering vs bitcoin. ETH price might rise in the near term even if BTC continues to slide.
Ethereum Price Weekly Analysis
This past week, bitcoin and Ethereum made attempts to climb above $12,000 and $240 respectively against the US Dollar. However, both failed to gain momentum and the ETH/USD pair started a major decline. The pair clearly failed to gain traction above $235 and declined below the $230 support. Moreover, there was a break below a crucial support area near the $220 level and the 100 simple moving average (4-hours).
Moreover, there was a break below a major bullish trend line with support near $224 on the 4-hours chart of ETH/USD. It opened the doors for more losses below the $210 support level. As a result, Ethereum price revisited the $200-201 support area, where the bulls took a stand. Recently, the price started an upside correction above the $205 level.
Additionally, there was a break above the 23.6% Fib retracement level of the downward move from the $239 high to $201 low. However, the price seems to be struggling near the $214 and $215 levels. More importantly, there is a major bearish trend line forming with resistance near $214 on the same chart. Therefore, an upside break above the $215 level might set the pace for more gains.
The next key resistance is near the $220 level and the 100 simple moving average (4-hours). A successful close above the $220 level could clear the path for a move towards the $240 resistance. Conversely, if the price fails to climb above $215 or $220, it could slide back towards the $200 support.
The above indicates that Ethereum price is trading near a key resistance area at $214-215. If there is an upside break, the price could climb higher steadily towards $220 or even $230. If not, there is a risk of a downside break below the key $200 support area in the near term.
Technical Indicators
4 hours MACD – The MACD for ETH/USD is about to move back into the bullish zone.
4 hours RSI – The RSI for ETH/USD is currently above the 40 level, with a minor bullish angle.
Major Support Level – $200
Major Resistance Level – $220