TA: Ethereum Hesitates But Further Gains Seem Likely Above $2K

Ethereum gained pace and cleared the $2,000 resistance against the US Dollar. ETH is consolidating and might rise further towards the $2,120 resistance.

• Ethereum extended its increase above the $1,920 resistance zone.
• The price is now trading above $1,950 and the 100 hourly simple moving average.
• There was a break above a short-term bearish trend line with resistance near $1,950 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could continue to rise further higher towards the $2,050 and $2,120 levels.

Ethereum Price Eyes More Upsides

Ethereum remained well bid above the $1,850 level. ETH gained pace after there was a clear move above the $1,880 resistance zone. It even climbed above the $1,920 level.

The bulls pumped the price above the $1,950 resistance and the 100 hourly simple moving average. Finally, there was a move above the $2,000 resistance and the price traded as high as $2,029. Recently, there was a downside correction below the $2,000 level.

Ether declined below a key bullish trend line forming with support near $2,000 on the hourly chart. There was a move below the $1,950 level, but the bulls were active near the 100 hourly simple moving average.

A low was formed near $1,905 and the price started another increase. There was a clear move above the 50% Fib retracement level of the recent decline from the $2,029 swing high to $1,905 low. The price even tested the $2,000 resistance.

Source: ETHUSD on TradingView.com

An immediate resistance on the upside is near the $2,000 level. It is near the 76.4% Fib retracement level of the recent decline from the $2,029 swing high to $1,905 low. The first major resistance is near the $2,030 level. A clear move above the $2,030 level could start a steady increase to $2,080. If there are more upsides, the price may perhaps rise towards the $2,120 resistance zone in the near term.

Dips Limited in ETH?

If ethereum fails to rise above the $2,030 resistance, it could start a downside correction. An initial support on the downside is near the $1,950 zone.

The next major support is near $1,920 and the 100 hourly simple moving average. The main support is near the $1,900 level, below which there is a risk of more losses. In the stated case, ether price may perhaps decline towards the $1,855 support.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now above the 50 level.

Major Support Level – $1,920

Major Resistance Level – $2,030

Source: NewsBTC.com