Ethereum price started a downside correction versus the US Dollar, but remained flat against bitcoin. ETH could revisit the $166 support, but it remains well bid on the downside.
Ethereum Price Analysis
There was a decent upward move above the $170 resistance in Ethereum price against the US Dollar. The ETH/USD pair surpassed the $174 and $175 resistance levels to move into a positive zone. However, the price failed to retain bullish momentum above the $178 level. It formed a high just below $178 and later declined below the $175 level. There was a break below the $170 support and the 100 hourly simple moving average. The price traded close the $166 level, where buyers took a stand.
Recently, the price recovered above the $168 level and the 23.6% Fib retracement level of the recent drop from the $178 swing high to $166 low. However, the $170 area and the 100 hourly simple moving average is acting as a strong resistance. There is also a major bearish trend line in place with resistance at $171 on the hourly chart of ETH/USD. Above the trend line, the next resistance is near $172 and the 50% Fib retracement level of the recent drop from the $178 swing high to $166 low.
On the downside, an initial support is at $168, below which the price may revisit the $166 support. Any further losses are very unlikely and it seems like the price could bounce back above $171 and $172. The main resistance is at $175, above which the price could rally towards $180 and $182.
Looking at the chart, Ethereum price seems to be correcting lower towards the $166 or $165 support. However, the overall bias is positive and the price could bounce back once it completes the current correction near $165. On the upside, a break above $172 is needed for a fresh increase towards the $178 level. Above $178, the price could break the $180 resistance.
ETH Technical Indicators
Hourly MACD – The MACD for ETH/USD is slowly moving in the bullish zone, with a few positive signs.
Hourly RSI – The RSI for ETH/USD failed to stay above the 50 level and it is currently heading to 40.
Major Support Level – $166
Major Resistance Level – $172
