Ethereum (ETH) Price Holding Support: Buying Dips Favored
- ETH price is struggling to gain momentum above $275 and $280 against the US Dollar.
- The price is currently correcting lower towards the $268 and $265 support levels.
- Yesterday’s highlighted key bullish trend line is intact with support near $267 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is likely to find a strong buying interest near the $268, $267 and $265 support levels.
Ethereum price is trading in a broad range below $275 versus the US Dollar, but extended losses vs bitcoin. ETH price could start a strong rally if there is a clear break above $275 and $280.
Ethereum Price Analysis
After a short term downside correction, Ethereum price recovered from the $262 swing low against the US Dollar. The ETH/USD pair traded above the $265 and $270 resistance levels. Moreover, the price remained well above the $270 level and the 100 hourly simple moving average. However, the price struggled to clear the key $275 resistance level and recently corrected lower once again.
It traded below the 23.6% Fib retracement level of the upward move from the $262 swing low to $275 high. There were a couple of spikes below $270, but the price remained well bid above $268. Besides, the 50% Fib retracement level of the upward move from the $262 swing low to $275 high acted as a strong support. More importantly, yesterday’s highlighted key bullish trend line is intact with support near $267 on the hourly chart of ETH/USD.
The main support is near the $266 and $265 levels. The 100 hourly SMA is positioned near the $265 level to act as a solid support. An intermediate support is near the 61.8% Fib retracement level of the upward move from the $262 swing low to $275 high. Therefore, the price is likely to bounce back as long as it is above the $265 support.
On the upside, the main resistance is near the $275 level. If there is an upside break above $275, there are chances of more upsides above the $278 and $280 levels in the near term.
Looking at the chart, Ethereum price is clearly struggling to gain momentum above $275 and $280. A successful close above the $280 barrier is must for a sharp rise towards the $290 and $300 resistance levels. On the downside, if there is a break below the $265 support, the price is likely to continue lower in the coming sessions.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is slowly gaining pace in the bearish bullish zone, with negative signs.
Hourly RSI – The RSI for ETH/USD just dipped below the 50 level, with a bearish angle.
Major Support Level – $265
Major Resistance Level – $275