ETH/USD Preparing For The Next Ride
|A lower low pattern in Ether price against the US Dollar suggests there is a consolidation underway.|
|The ETH/USD pair is preparing for the next break, forming a contracting triangle pattern on the 30-min chart.|
|The ETH/BTC pair also remained above a key support area at 0.022BTC, pointing to overall strength and positive market sentiment.|
Technically, the 2-hour chart indicators are back with upside momentum after a minor dip.
Ether Price to Form Another New High?
During the past 2-3 sessions, Ether price mostly traded in a range against the US Dollar and Bitcoin, maintaining support in a bullish formation.
The ETH/USD pair, after trading towards the $25.93 level, started moving higher while forming a new lower low pattern. Also, there is a contracting triangle pattern on the 30-min chart with support at the moment near $28.50.
The price was able to move above the 38.2% Fib retracement level of the last decline from the $30.64 high to $25.93 low. It looks like the price is slowly preparing for another upside move above the triangle resistance area at $29.60.
Since, the price is now above the 61.8% Fib retracement level of the last decline from the $30.64 high to $25.93 low, there are high chances of it retesting the last swing high at $30.64 creating a new high towards $31.00. The 2-hour chart also points a similar picture. ETH/USD likely completed a correction near $26, and now moving back higher.
If Ether buyers remain in action, there is a possibility of a break higher towards $30.50 and then $31.00. On the downside, there are a couple of bullish trend lines formed on the same chart with support at $29 and $28.
As long as the price is above these supports, it remains in the bullish zone in the short term.