- ETH price climbed higher recently above $220 before starting a downside correction against the US Dollar.
- The price traded as high as $226 and recently declined below the $220 support area.
- There is a short term declining channel (may be bullish flag) forming with resistance near $218 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair might decline towards the $210 support level before it could bounce back.
Ethereum price is currently correcting gains versus the US Dollar, and bitcoin is back below $10,000. ETH price might soon revisit the $210 support area before it could rise again.
Ethereum Price Analysis
Yesterday, we saw a decent upward move in Ethereum price above the $210 resistance against the US Dollar. The ETH/USD pair even broke the $220 resistance level and the 100 hourly simple moving average. Finally, there was a push above $225 and new swing high was formed at $226. The price is currently correcting gains and it recently declined below the $220 support level.
Moreover, the price traded below the 23.6% Fib retracement level of the recent recovery from the $200 low to $226 high. The price is now trading below the $218 level and the 100 hourly simple moving average. It seems like there is a short term declining channel (may be bullish flag) forming with resistance near $218 on the hourly chart of ETH/USD. An immediate support is near $213 plus the 50% Fib retracement level of the recent recovery from the $200 low to $226 high.
However, the main support for the bulls is near the $210 level. The stated $210 level was a resistance earlier and now it might protect losses. Additionally, the 61.8% Fib retracement level of the recent recovery from the $200 low to $226 high is also near the $210 level.
On the upside, the $218 and $220 levels are important hurdles for the bulls. If there is a successful break above the $220 resistance plus a close above the 100 hourly SMA, the price could restart its upward move. The next resistance is near the $226 level, above which it could test the $230 resistance.
Looking at the chart, Ethereum price is currently correcting gains and it might continue to decline below $215. However, the $210 support level could act as a strong buy zone. If the price fails to stay above $210, it could decline back towards the $200 support.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is currently declining and it is now well below the 50 level.
Major Support Level – $210
Major Resistance Level – $220