Ethereum was able to slowly move higher above $1,640 and $1,650.
The price is now trading above $1,650 and the 100 hourly simple moving average.
There is a major rising channel forming with support near $1,645 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could continue to move up if it stays above the $1,625 support zone.
Ethereum Price Starts Recovery
Ethereum was able to start an upside correction above the $1,600 resistance zone. ETH climbed above the $1,620 and $1,625 levels, opening the doors for more gains.
The price broke the 23.6% Fib retracement level of the main drop from the $1,880 swing high to $1,524 low. Ether price even cleared the $1,650 resistance and settled above the 100 hourly simple moving average. Finally, it traded close to the $1,700 resistance, where the bears emerged.
The price is now trading above $1,650 and the 100 hourly simple moving average. There is also a major rising channel forming with support near $1,645 on the hourly chart of ETH/USD.
An immediate resistance on the upside is near the $1,680 level. The first major resistance is now forming near the $1,700 level. It is near the 50% Fib retracement level of the main drop from the $1,880 swing high to $1,524 low. A clear move above the $1,700 level could start a steady increase.
The next major resistance is near the $1,745 level, above which the price could gain bullish momentum and rise and test the $1,800 resistance.
Fresh Drop in ETH?
If ethereum fails to rise above the $1,700 resistance, it could start a fresh decline. An initial support on the downside is near the $1,650 zone, the 100 hourly simple moving average, and the channel trend line.
The next major support is near $1,625, below which ether price might accelerate lower. In the stated case, the price may perhaps decline towards the $1,550 level. Any more losses may perhaps open the doors for a move towards the $1,520 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,625
Major Resistance Level – $1,700
