Key Highlights
- ETH price is currently correcting higher after a sharp decline toward the $500 level against the US Dollar.
- Yesterday’s highlighted key bearish trend line is intact with resistance at $545 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair may continue to move higher toward the $540 and $545 resistance levels in the near term.
Ethereum price is currently recovering against the US Dollar and Bitcoin. ETH/USD is likely to face sellers on the upside near the $540-545 zone.
Ethereum Price Resistance
After a sharp decline, ETH price found support around the $500 level against the US Dollar. The price traded as low as $503.04 before forming a short-term support. Later, it started an upside correction and traded above the $515 level. There was also a break above the 23.6% fib retracement level of the last decline from the $565 swing high to the $503 low.
However, there are many barriers on the upside near the $540 level. More importantly, yesterday’s highlighted key bearish trend line is intact with resistance at $545 on the hourly chart of ETH/USD. The same trend line resistance coincides with the 50% fib retracement level of the last decline from the $565 swing high to the $503 low. Therefore, if the price continues to move higher, it is likely to find sellers near the $540 and $545 resistance levels. Above this last, the next major hurdle for buyers is near the $560 level.
Looking at the chart, the price is showing recovery signs above the $510 level. However, the currently recovery could face heavy selling interest on the upside near below the $560 level. On the downside, a break below the $500 handle could accelerate declines in the near term towards $450.
Hourly MACD – The MACD is slowly moving back in the bullish zone.
Hourly RSI – The RSI is moving higher and is above to break the 50 level with a few positive signs.
Major Support Level – $500
Major Resistance Level – $545
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