Why ETH Remains Attractive On Dips

Ethereum gained bullish momentum above the USD 1,150 resistance against the US dollar. ETH price broke the USD 1,200 resistance but struggled to hit the USD 1,250 level.

  • Ethereum started a steady surge above the USD 1,150 and USD 1,200 resistance levels.
  • The price is encountering resistance near the $ 1,250 level but is above the 100-hour simple moving average.
  • A major bullish trendline is forming on the hourly chart of ETH / USD (data feed via Kraken) with support near USD 1,200.
  • The pair could correct lower, but previous resistance near USD 1,150 could provide strong support.

The price for the Ethereum turns green

Bitcoin and Ethereum rose sharply above $ 38,500 and $ 1,150, respectively. ETH price rose bullish after breaking the USD 1,150 resistance and the 100-hour simple moving average.

The price even broke the $ 1,200 and $ 1,220 resistance levels. However, the bears were active near the $ 1,250 level. The cops made two attempts to vacate the $ 1,250 zone but failed. The most recent high was made near $ 1,252 and the price is currently consolidating gains.

Source: ETHUSD on TradingView.com

It has already tested the Fib retracement level of 23.6% of the recent surge from $ 983 to $ 1,252. On the flip side, a major bullish trendline is forming on the ETH / USD hourly chart with support close to $ 1,200.

A downside break below trendline support could lead the price towards the USD 1,150 support zone. On the upside, the $ 1,250 level is a major breakout zone. A sharp break above the $ 1,250 level could open the doors for steady rise in upcoming sessions. The next major resistance is near the $ 1,300 and $ 1,320 levels.

Dips supported at ETH?

If Ethereum corrects below the trendline and $ 1,200, it could find strong support near $ 1,150 and the 100-hour simple moving average.

The next major support is at $ 1,120. It is close to the 50% fib retracement level of the recent spike from $ 983 to $ 1,252. Further losses could require a further decline to the support level of USD 1,050 in the short term.

Technical indicators

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

Hourly RSI – – The RSI for ETH / USD is moving lower towards 55.

Main support tier – $ 1,150

Main Resistance Level – $ 1,250