TA: Ethereum Struggles Near $1,250: Why ETH Remains Attractive On Dips

Ethereum

Ethereum gained bullish momentum above the $1,150 resistance against the US Dollar. ETH price broke the $1.200 resistance, but it struggled to clear the $1,250 level.

Ethereum Price Turns Green

There was a strong increase in bitcoin and Ethereum above $38,500 and $1,150 respectively. ETH price gained bullish momentum after it broke the $1,150 resistance and the 100 hourly simple moving average.

The price even broke the $1,200 and $1,220 resistance levels. However, the bears were active near the $1,250 level. The bulls made two attempts to clear the $1,250 zone, but they failed. The recent high was formed near $1,252 and the price is currently consolidating gains.

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It already tested the 23.6% Fib retracement level of the recent increase from the $983 swing low to $1,252 high. On the downside, there is a major bullish trend line forming with support near $1,200 on the hourly chart of ETH/USD.

A downside break below the trend line support could lead the price towards the $1,150 support zone. On the upside, the $1,250 level is a major breakout zone. A clear break above the $1,250 level could open the doors for a steady increase in the coming sessions. The next key resistance is near the $1,300 and $1,320 levels.

Dips Supported in ETH?

If ethereum corrects lower below the trend line and $1,200, it could find a strong support near $1,150 and the 100 hourly simple moving average.

The next major support is near $1,120. It is close to the 50% Fib retracement level of the recent increase from the $983 swing low to $1,252 high. Any more losses may possibly call for a fresh decline towards the $1,050 support level in the near term.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is slowly losing pace in the bullish zone.

Hourly RSIThe RSI for ETH/USD is moving lower towards the 55 level.

Major Support Level – $1,150

Major Resistance Level – $1,250

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