Analysis

Ethereum Above $325 Could Trigger A Fresh Rally Towards $350

Ethereum is currently consolidating gains above the $ 307 and $ 310 support levels against the US Dollar. ETH price must surpass the $ 325 resistance zone to trigger a fresh rally.

  • Ethereum is holding a couple of important supports above the $ 307 and $ 310 levels.
  • The price is facing a crucial resistance near the $ 322 and $ 325 levels, but it is above the 100 hourly simple moving average.
  • There is a key contracting triangle forming with resistance near $ 321 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair must clear the $ 322 and $ 325 resistance levels for a fresh rally in the near term.

Ethereum Price Consolidating Gains

In the past few sessions, Ethereum traded in a broad range above the $ 310 support against the US Dollar. ETH price made a couple of attempts to clear the $ 325 resistance, but it failed.

The last swing high was formed near the $ 325 level before the price started a downside correction. It traded below the $ 320 level, but it is still well above the 100 hourly simple moving average. Ether is currently testing the 50% Fib retracement level of the recent wave from the $ 307 swing low to $ 325 high.

On the downside, there is a major support forming near the $ 312 level and the 100 hourly simple moving average. It is close to the 61.8% Fib retracement level of the recent wave from the $ 307 swing low to $ 325 high.

Ethereum

Ethereum price holding $ 310. Source: TradingView.com

It seems like there is a key contracting triangle forming with resistance near $ 321 on the hourly chart of ETH/USD. If ether price breaks the triangle resistance, it could even attempt to clear the $ 325 resistance. A successful close above the $ 325 resistance may perhaps open the doors for a sharp rally in the coming sessions. The next target for the bulls might be $ 350.

Dips Likely to be Contained in ETH

There are many key supports forming near $ 312, $ 310 and $ 307. If the price breaks the $ 312 support, it might extend its decline towards the $ 307 support.

The next major support is near the $ 300 level (the breakout zone), below which the price is likely to continue lower towards the $ 290 level in the near term.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is about to move back into the bullish zone.

Hourly RSIThe RSI for ETH/USD is currently rising towards the 50 level.

Major Support Level – $ 307

Major Resistance Level – $ 325

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Analysis – NewsBTC

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