TA: Ethereum Eyes Key Upside Break, $3K Holds The Key

Ethereum extended increase above the $3,050 resistance against the US Dollar. ETH price even climbed above $3,150 and might attempt a break above $3,200.

• Ethereum gained pace and was able to clear the $3,120 resistance.
• The price is now trading above $3,050 and the 100 hourly simple moving average.
• There is a key bullish trend line forming with support near $3,050 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could extend increase if stays above the $3,000 support zone.

Ethereum remained well supported above the $3,000 level and the 100 hourly simple moving average. ETH extended increase above the $3,050 resistance zone.

It even broke the $3,120 resistance and traded to a new high at $3,196. It is now consolidating gains and trading below the $3,150 level. Ether also tested the 23.6% Fib retracement level of the recent increase from the $2,832 swing low to $3,196 high.

However, the price is placed above $3,050 and the 100 hourly simple moving average. There is also a key bullish trend line forming with support near $3,050 on the hourly chart of ETH/USD.

An immediate resistance is near the $3,150 level. The first major resistance is near the $3,180 level. The main resistance sits near the $3,200 level. A successful close above $3,200 might start another increase. In the stated case, the price could test the next key hurdle at $3,250. Any more gains might send the price towards the $3,320 level.

If ethereum fails to start a fresh increase above $3,150 or $3,180, it could start a downside correction. An initial support on the downside is near the $3,110 level. The next major support is near the $3,050 level and the trend line.

The 50% Fib retracement level of the recent increase from the $2,832 swing low to $3,196 high is also just below the trend line and the 100 hourly simple moving average. A downside break below the trend line support might push the price towards the $3,000 level. Any more losses might call for a move towards $2,880.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is losing pace in the bullish zone.

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

Major Support Level – $3,050

Major Resistance Level – $3,180