Analysis

Ethereum Smashes Heavy Resistance: Here’s What Could Propel it to $250

Ethereum is up around 2% and it broke the $ 232 resistance against the US Dollar. ETH has likely moved into a positive zone and it could continue to rise towards $ 240 or even $ 250.

  • Ethereum is slowly gaining bullish momentum above the $ 232 resistance
  • The price tested the $ 235 resistance and trading well above the 100 hourly simple moving average.
  • There was a break above a major bearish trend line with resistance near $ 230 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could correct a few points, but it is likely to resume its upside towards $ 240 or $ 250.

Ethereum Price Turns Green

After forming a strong support base above $ 225, Ethereum price started a fresh increase resistance against the US Dollar. ETH spiked above the $ 230 resistance from the $ 222 swing low to move into a positive zone.

The bulls gained strength above the $ 232 resistance and the price settled well above the 100 hourly simple moving average. More importantly, there was a break above a major bearish trend line with resistance near $ 230 on the hourly chart of ETH/USD.

Ether tested the $ 235 resistance and it is currently consolidating gains. An initial support is near the $ 233.50 level or the 23.6% Fib retracement level of the recent surge from the $ 227 low to $ 235 high.

Ethereum Price

Ethereum price tests $ 235. Source: TradingView.com

The main support is now near the $ 232 level. It is close to the recent breakout zone and coincides with the 50% Fib retracement level of the recent surge from the $ 227 low to $ 235 high. On the upside, the $ 235 level is an immediate resistance level.

The current price action suggests that ether could rise further above $ 235. The next key resistance is near the $ 240 level, above which the price is likely to grind higher towards the $ 250 resistance zone in the near term.

Dips Supported in ETH

The $ 232 level is likely to act as a strong support for Ethereum, followed by $ 230. If the bulls fail to defend the $ 230 level, there is a risk of a sharp decline.

The next key support is near the $ 225 level, below which the price could continue to decline towards the $ 218 and $ 215 levels.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is gaining traction in the bullish zone.

Hourly RSIThe RSI for ETH/USD is now well above the 60 level, with bullish signs.

Major Support Level – $ 230

Major Resistance Level – $ 235

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Analysis – NewsBTC

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