Ethereum price is looking for bids above the $1,875 support zone against the US Dollar. ETH may gain strong momentum above the $1,940 resistance.
- Ethereum is holding key support near $1,875.
- The price traded below $1,920 and the 100-hour Simple Moving Average.
- There is a break above a key bearish trend line with resistance near $1,900 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair may gain momentum if it clears the $1,920 and $1,940 resistance levels.
Ethereum Price May Begin New Highs
Ethereum price has once again declined below the $1,900 support. However, ETH bulls are active near the $1,875 level. It looks like a double bottom pattern is forming near the $1,875 level.
A low was formed near $1,875 and the price is now testing a new high. It broke the $1,900 resistance level. There is also a break above a key bearish trend line with resistance near $1,900 on the hourly chart of ETH/USD. The pair cleared the 50% Fib retracement level recently falling from the $1,944 swing high to the $1,874 low.
Ether is currently trading below $1,920 and the 100-hour Simple Moving Average. On the upside, immediate resistance is near the $1,920 level. It is near the 61.8% Fib retracement level of the recent drop from the $1,944 swing high to the $1,874 low.
Source: ETHUSD on TradingView.com
The first major resistance is near the $1,940 zone, above which the price may rise to the $1,985 resistance zone. The next major resistance is near the $2,000 level. Any further gains could send Ether to the $2,050 resistance or even $2,080.
New ETH Decline?
If Ethereum fails to clear the $1,920 resistance, it could start a new decline. Initial support on the downside is near the $1,900 level.
The first major support is near the $1,875 level, below which the price may extend its decline. The next major support is near the $1,825 support level. Any further losses could open the doors for a move towards the $1,780 support level in the near term.
Technical Signs
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,875
Major Resistance Level – $1,920
