Key Highlights
- ETH price climbed higher and traded close to the $300 level against the US Dollar.
- There is a new contracting triangle pattern with support at $278 forming on the hourly chart of ETH/USD (data feed via SimpleFX).
- The price remains elevated as long as it stays above the $278-270 support area in the near term.
Ethereum price moved higher and gained strong bids against the US Dollar and Bitcoin. Now, can ETH/USD continue moving higher and stay above $270?
Ethereum Price Support
There was a decent ride in ETH price as it climbed above a few important resistance levels like $270 against the US Dollar. The upside move was strong and as a result, there almost a test of the $300 handle. The price traded as high as $298.71 where it faced offers. However, there was no complete test of the 1.236 Fib extension of the last decline from the $281.50 high to $199.80 low at $300.60. The price is currently correcting lower from the $298 swing high.
On the downside, an initial support is around the 23.6% Fib retracement level of the last wave from the $238.56 low to $298.71 high. It looks like there is a new contracting triangle pattern with support at $278 forming on the hourly chart of ETH/USD. The most important support is near $270, which is close to the 50% Fib retracement level of the last wave from the $238.56 low to $298.71 high. As long as the price stays above the $270 level, there is a chance of it breaking $298 in the near term.
A break and close above $298 would clear the path for more gains. On the other hand, a close below $270 could increase the bearish pressure.
Hourly MACD – The MACD is slowly decreasing the bullish slope.
Hourly RSI – The RSI is heading lower towards the 50 level.
Major Support Level – $270
Major Resistance Level – $298
Charts courtesy – SimpleFX