Why ETH Remains Attractive On Dips

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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