Ethereum followed a strong uptrend above $250 and $270 against the US Dollar. ETH price surged above the $300 level and it is currently consolidating gains.
- ETH price gained more than 20% in the past few days and it surpassed $300 against the US Dollar.
- A new monthly high is formed near the $310 level and the price is currently correcting lower.
- There is a major bullish trend line forming with support near $295 on the 4-hours chart of ETH/USD (data feed via Kraken).
- The pair is likely to continue higher above $310 as long as it is above the $285 pivot level.
Ethereum Price is Surging
This past week, Ethereum started a significant upward move above the $250 resistance against the US Dollar. ETH price even broke the $275 resistance and the 100 simple moving average (4-hours).
The upward move was strong and ether surged above the $280 and $300 levels (as discussed in the last technical analysis). The price traded to a new monthly high near the $310 level and it is currently correcting lower.
There was a break below the $305 level, plus the 23.6% Fib retracement level of the recent surge from the $281 swing low to $310 high. On the downside, there is a strong support forming near the $300 and $295 levels.
Ethereum price trades above $300. Source: TradingView.com
There is also a major bullish trend line forming with support near $295 on the 4-hours chart of ETH/USD. The trend line is close to the 50% Fib retracement level of the recent surge from the $281 swing low to $310 high.
On the upside, the price is facing minor hurdles near $310. The first major resistance is near the $320 level, above which ether price is likely to aim a larger rally towards the $350 level in the coming days.
Downside Correction in Ether (ETH)?
If Ethereum fails to continue higher above the $310 and $320 resistance levels, there are chances of a downside correction below the trend line support.
The next major support is near the $285 level (the recent breakout zone), below which the bears are likely to target an extended correction towards the $265 support level.
4 hours MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
4 hours RSI – The RSI for ETH/USD is currently in the overbought zone.
Major Support Level – $295
Major Resistance Level – $310
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