Ethereum Price (ETH) Preparing For Fresh Increase Versus Bitcoin (BTC)
Key Talking Points
- Ethereum price surged higher above the 0.0300 and 0.0320 barriers against bitcoin.
- There is a major declining channel in place with resistance at 0.0322BTC on the 4-hours chart of the ETH/BTC pair (data feed from Poloniex).
- The pair is moving lower and it seems like the price could test the 0.0306BTC support before climbing higher.
Ethereum Price Chart Analysis
Recently, there was a strong rally in Ethereum above 0.0280 against bitcoin. ETH to BTC surged and broke the main hurdles near the 0.0305BTC and 0.0320BTC levels. The price rallied to 0.0348BTC and recently started a downside correction, similar to EOS, ripple, litecoin and bitcoin cash.
Looking at the chart, the price surged above 0.0320BTC, traded as high as 0.0348BTC and settled above the 100 simple moving average (4-hours).
Recently, there was a pullback below the 0.0340BTC level and the 23.6% Fib retracement level of the last wave from the 0.0244BTC low to 0.0348BTC high. More importantly, there is a major declining channel in place with resistance at 0.0322BTC on the 4-hours chart of the ETH/BTC pair.
The pair seems to be heading towards the key support near the 0.0310BTC and 0.0306BTC levels. The channel support is also close to the 0.0306BTC level, below which the price may test 0.0300BTC.
The 50% Fib retracement level of the last wave from the 0.0244BTC low to 0.0348BTC high is also near the 0.0296BTC level to provide support.
The price is currently declining, but there are many strong supports near the 0.0310BTC and 0.0306BTC levels. Therefore, there are chances of a strong bounce above 0.0320BTC. An initial resistance is at 0.0322BTC, above which Ethereum price could surge above 0.0330BTC.
The overall price action is very positive and the recent pullback in ETH/BTC could be considered as a solid buying opportunity near 0.0310BTC or 0.0300BTC. On the upside, targets could be 0.0335BTC or 0.0350BTC.