Ethereum started an upside correction above the $1,000 resistance zone.
The price is now trading above $1,000 and the 100 hourly simple moving average.
There is a short-term contracting triangle forming with resistance near $1,150 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start a steady increase if it clears the main $1,150 resistance zone.
Ethereum Price Faces Key Barrier
Ethereum started a decent upward move from the $880 support zone. ETH climbed above the $950 and $1,000 levels to move into a short-term bullish zone.
The bulls pushed the price above the 50% Fib retracement level of the key decline from the $1,255 swing high to $880 low. Finally, there was a move above the $1,100 level. However, ether price is now facing a major resistance near the $1,150 and $1,160 levels.
The price is now trading above $1,000 and the 100 hourly simple moving average. It is also above the 23.6% Fib retracement level of the upward move from the $880 swing low to $1,174 high.
Besides, there is also a short-term contracting triangle forming with resistance near $1,150 on the hourly chart of ETH/USD. An immediate resistance is near the $1,150 level. The next major resistance is near the $1,160 zone. A clear move above the $1,160 resistance zone may perhaps start a steady upward move.
Source: ETHUSD on TradingView.com
The next major resistance is near the $1,260 level. Any more gains could start a move towards the $1,350 resistance in the near term.
Fresh Decline in ETH?
If ethereum fails to rise above the $1,150 resistance, it could start a fresh decline. An initial support on the downside is near the $1,100 zone and the triangle lower trend line.
The next major support is near the $1,030 zone. It is near the 50% Fib retracement level of the upward move from the $880 swing low to $1,174 high. Any more losses might call for a move towards the $950 support zone.
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Major Support Level – $1,030
Major Resistance Level – $1,150