ETH/USD Still Poised To Challenge Upside
|Ether price after trading as high as $11.48 against the US Dollar started a short-term correction.|
|The ETH/USD pair is currently forming a consolidation flag on the 2-hour chart with a minor downward direction.|
|On the downside, the pair remains supported at $11.25, and a break above $11.50 might push it towards $11.87.|
Technically, the 2-hour chart indicators are stable above their neutral levels, suggesting consolidation.
Ether Price Consolidating?
The past couple of sessions saw no major moves in Ether price, as after retreating from $11.48 high against the US Dollar it started trading in a range with support at $11.25.
The ETH/USD pair fell down to $11.26 where it found support and recovered. During the recovery, the pair broke a bearish trend line on the 30-min chart and traded above $11.30.
There was also a close above the 23.6% Fibonacci retracement level of the last decline from the $11.48 high to $11.26 low. However, the upside could not last long, as the $11.40 area acted as a resistance and prevented a retest of $11.48.
The price at the moment is trading near the broken trend line at $11.35, which is acting as a support. If the price declines further, there is a bullish trend line on the same chart with support at $11.30.
Technical readings in the 2 hour chart favor the upside, as the price remains well above a bullish 20 SMA, whilst technical indicators remain stable above their neutral levels.
It looks like there is a consolidation flag pattern formed on the chart with support at $11.30-11.25, and resistance near $11.45-11.50.
Ether price may continue to trade inside the pattern before initiating the next move. The chances of an upside break are more considering the technical indicators and the current bias for ETH/USD.