Ethereum fell towards the $ 530 zone before rebounding above $ 550 against the US dollar. ETH price is now facing strong resistance near the $ 580 level and the 100-hour SMA.
- Ethereum started a strong recovery wave above the USD 550 and USD 565 resistance levels.
- The price is now facing hurdles near the $ 580 level and the 100-hour simple moving average.
- A large bearish trendline is forming on the hourly chart of ETH / USD (data feed via Kraken) with resistance near USD 584.
- The pair needs to beat the 100-hour SMA, $ 580 and $ 584 to start a sharp surge.
The Ethereum price is facing a strong barrier
Bitcoin and Ethereum saw a downward extension below $ 18,000 and $ 550, respectively. The ETH price even exceeded the support level of $ 540 and was well below the 100-hour simple moving average.
It traded as low as $ 529 before starting a decent upward move. There has been a sharp rally above the USD 540 and USD 550 levels. Ether price even broke the $ 565 resistance but faced strong resistance near the $ 580 zone and the 100-hour simple moving average (as explained yesterday, the support became resistance).
Source: ETHUSD on TradingView.com
A large bearish trendline is also forming on the hourly chart of ETH / USD with resistance near USD 584. The pair is now consolidating above the USD 565 support. It also holds the 23.6% Fib retracement level of the recent rebound from the low of $ 529 to the high of $ 577.
The next major support is near the $ 550 level or the 50% fib retracement level of the recent rebound from the $ 529 low to the $ 577 high.
On the upside, the price is clearly facing strong resistance near $ 580 and the 100-hour simple moving average. To start a steady spike, ether must surpass the 100-hour SMA, $ 580 and $ 584, respectively. The next major resistance is near the $ 600 level.
Fresh bearish break at ETH?
If Ethereum fails to hit the $ 580 and $ 585 resistance levels, it could see another decline. A sharp break below the USD 565 support zone could trigger a bearish wave.
The next major support is near the $ 550 zone, below which there is a risk of a major decline. In that case, the price could break the $ 529 low.
Hourly MACD – – The MACD for ETH / USD is losing momentum in the bullish zone.
Hourly RSI – – The RSI for ETH / USD is currently above the 50 level.
Main Support Tier – $ 565
Main Resistance Level – $ 580