Ethereum is slowly rising and trading well above $375 against the US Dollar. ETH price must clear the $385 resistance to continue higher in the near term.
- Ethereum gained pace after it broke the $375 resistance level.
- The price tested the $385 resistance and it is now trading the 100 hourly simple moving average.
- There is a key bullish trend line forming with support near $375 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a fresh decline below $375 if it fails to clear the $385 resistance.
Ethereum Price is Facing an Uphill Task
Ethereum started a decent upward move after it reclaimed the $370 level. ETH price broke the $375 resistance and it settled well above the 100 hourly simple moving average.
The bulls gained strength, resulting in a push above the $380 level. However, ether price failed to clear the key $385 resistance. A high is formed near $385 and the price started a downside correction. There was a break below the $380 level, and the 50% Fib retracement level of the recent increase from the $373 swing low to $385 high. The price is now holding the $378 support level (a multi-touch zone). The next major support on the downside is near the $375 level.
Source:There is also a key bullish trend line forming with support near $375 on the hourly chart of ETH/USD. The trend line support is close to the 76.4% Fib retracement level of the recent increase from the $373 swing low to $385 high. On the upside, the bulls are facing a strong resistance near $385. A clear break above the $385 resistance could open the doors for a push towards the $400 resistance level in the coming sessions.
Downside Break in ETH?
If Ethereum fails to clear the $385 resistance levels, it might continue to move down. An immediate support is near the $378 zone.The main support is near the trend line and $375. A clear break below the $375 support level and the 100 hourly simple moving average might start a fresh decline. In the stated case, the price could revisit the $365 support zone.
Technical IndicatorsHourly MACD – The MACD for ETH/USD is slowly moving in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now just above the 50 level.
Major Support Level – $375 Major Resistance Level – $385