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    A Strengthening Case for Upside


    Ethereum gained pace and broke the $1,500 resistance zone against the US Dollar. ETH is consolidating gains and might eye more upsides above $1,600.

    • Ethereum is showing positive signs above the $1,500 and $1,520 levels.
    • The price is now trading above $1,520 and the 100 hourly simple moving average.
    • There is a major contracting triangle forming with resistance near $1,560 on the hourly chart of ETH/USD (data feed via Kraken).
    • The pair could rally again if there is a clear move above $1,560 and $1,580.

    Ethereum Price Eyes Fresh Increase

    Ethereum gained pace after it broke the $1,400 and $1,420 resistance levels. ETH even cleared the $1,500 level and settled above the 100 hourly simple moving average.

    The price surged towards the $1,600 level and remained well bid. A high was formed near $1,593 before there was a downside correction. There was a move below the $1,580 level. Ether price even tested the 23.6% Fib retracement level of the upward move from the $1,339 swing low to $1,593 high.

    It is now trading above $1,520 and the 100 hourly simple moving average. There is also a major contracting triangle forming with resistance near $1,560 on the hourly chart of ETH/USD.

    Ethereum Price

    Source: ETHUSD on TradingView.com

    An immediate resistance on the upside is near the $1,560 level and the triangle trend line. The first major resistance is near the $1,580 and $1,585 levels. The main barrier is now near the $1,600 zone. A clear upside break above the $1,600 resistance zone could open the doors for a strong increase. In the stated case, the price might climb towards the $1,750 level.

    Dips Limited in ETH?

    If ethereum fails to climb above the $1,580 resistance, it could start a downside correction. An initial support on the downside is near the $1,525 level and the triangle zone.

    The next major support is near the $1,460 and $1,450 levels. It is near the 50% Fib retracement level of the upward move from the $1,339 swing low to $1,593 high. A downside break below the $1,450 zone might start a fresh decline to $1,400 in the near term.

    Technical Indicators

    Hourly MACDThe MACD for ETH/USD is now losing momentum in the bullish zone.

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

    Major Support Level – $1,450

    Major Resistance Level – $1,580



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