The past week, we saw the price of Ether (ETH) climbing nicely above the $130 and $135 resistance levels against the US dollar. The ETH price even spiked above the $145 resistance and settled above the 100 simple moving average (4 hours). This is how the coin tested the $150 resistance area where the bears emerged. Currently, the Ethereum price breaking $130 could spell a new curse for the coin and push ETH to further declines.
The good thing is that the ETH news yesterday showed good overall support – Ethereum remained well bid above the $140 support area (which acted as resistance before) and the 50% Fib retracement level of the upward move from $129 low to a $150 high is also acting as strong support.
Right now, the latest cryptocurrencies news show that the 100 simple moving average (4-hours) is also near the $140 support area in order to protect a downside break. More importantly, there is a major contracting triangle forming with resistance near $145 on the 4-hour chart of ETH/USD.
If there is downside break below the $140 support area and the 100 SMA, we can see the bears taking control. Ethereum breaking $140 could mean a downward move to $130 and breaking that level could push the price even lower.
In the good scenario, the price of ETH remaining stable above $140 and the 100 simple moving average (on 4 hours) could make the coin rise further. The first key resistance is near the $145 level, followed by $150 right after it. So, a successful close above the $150 level is what is truly needed to spark a strong rally towards $160 and $164 so that all of this is forgotten.
The other altcoin news today show that while ETH and BTC are stable, Bitcoin Cash (BCH) has lost small points and is at $235, while the biggest gainer in the top 10 remains Binance Coin (BNB) with a 1.16% increase and a price of $13.74 now. In the top 20, the biggest gainer is Huobi Token (HT) with a 4.82% increase now and a price of $3.72.
The technical indicators of Ethereum (ETH) now are as following:
- 4 hours MACD – The MACD for ETH/USD is in a slow loss of momentum in the bullish zone.
- 4 hours RSI – The RSI for ETH/USD is right now correcting lower from the 65 level.
- Major Support Level – $140
- Major Resistance Level – $150
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