Source : newsbtc.comhttps://www.newsbtc.com/wp-content/uploads/2022/10/Depositphotos_179456522_s-2019-460x307.jpg
Ethereum started a recovery wave above the $1,200 level against the US Dollar. ETH must clear $1,320 and the 100 hourly SMA to start a sustained upward move.
- Ethereum started a recovery wave above the $1,200 and $1,220 levels.
- The price is now trading below $1,300 and the 100 hourly simple moving average.
- There was a break above a major bearish trend line with resistance near $1,210 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is now struggling to clear the $1,320 resistance and the 100 hourly simple moving average.
Ethereum Price Faces Key Resistance
Ethereum declined heavily below the $1,320 support zone, similar to bitcoin. ETH even traded below the $1,200 support level and settled below the 100 hourly simple moving average.
It even spiked below $1,100 and traded as low as $1,070. Recently, there was an upside correction above the $1,120 and $1,150 levels. Ether price climbed above the 23.6% Fib retracement level of the key decline from the $1,580 swing high to $1,070 low.
Besides, there was a break above a major bearish trend line with resistance near $1,210 on the hourly chart of ETH/USD. The pair even spiked above the $1,300 resistance.
However, the bears defended the $1,320 resistance and the 100 hourly simple moving average. The price also failed near the 50% Fib retracement level of the key decline from the $1,580 swing high to $1,070 low. An immediate resistance on the upside is near the $1,280 level.
Source: ETHUSD on TradingView.com
The next major resistance is near the $1,320 level and the 100 hourly simple moving average. A clear break above the $1,320 resistance could set the pace for a decent increase. In the stated case, the price could rise to the $1,400 level. Any more gains might send the price toward the $1,500 resistance zone.
More Losses in ETH?
If ethereum fails to climb above the $1,320 resistance, it could continue to move down. An initial support on the downside is near the $1,200 level.
The next major support is near the $1,190 level, below which ether price may perhaps accelerate lower. In the stated scenario, the price could decline towards the $1,070 support zone in the near term.
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,190
Major Resistance Level – $1,320