Ethereum started a new increase above the key $2000 resistance area against the US Dollar. ETH price could correct lower, but the bulls are likely to remain active around $2000.
- Ethereum is showing positive signs above the $2000 and $2,050 support levels.
- The price is now well above $2000 and the 100 hourly simple moving average.
- There is a major uptrend franchise forming with support near $1,960 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could decline in the short term, but the bulls may be protecting the support area at $1,950.
Ethereum price remains strong
Ethereum started file fixed increase After it broke the $1,850 resistance. Ethereum price surged above the $2000 resistance area and the 100 hourly simple moving average.
The price even rose above the $2100 level. It tested the 1.236 Fibonacci extension of the main decline from the $2,035 high to $1,710. The price traded as high as $2,144 and is now consolidating its gains.
It’s now well over $2000 and Simple moving average per 100 hours. There is immediate support near the $2,040 level. It is close to the 23.6% Fib retracement level of the recent increase from the $1,715 swing low to $2,144 high.
Source: ETHUSD on TradingView.com
The next major support is near the $2000 level. There is also a major uptrend privilege forming with support near $1,960 on the hourly chart of ETH/USD. The trendline support at $1,960 is also close to the hourly 100 simple moving average.
Any further losses could result in a sharp drop below $1,950. The next major support on the downside is near the $1,850 level.
A new drop in ETH?
If Ethereum stays above trend line support and $1,950, it may continue higher. There is an immediate resistance on the upside near the $2,150 level.
The next major resistance is near the $2,200 area. Any further gains could set the pace for a move towards the $2,250 level. A close above $2,250 may open the door for a steady increase towards the $2500 level in the near term.
MACD per hour – ETH/USD’s MACD is slowly losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is currently well above the 50 level.
Major Support Level – 1950 USD
Key Resistance Level – $2150