Technically, the hourly chart indicators are correcting lower from the overbought levels.
ETH/USD Remains Buy on Dips
ETH/USD kept rising within positive territory and cleared the $600.00 resistance. A new monthly high was formed at $621.70 before a minor downward correction.
On the other hand, ETH/BTC started consolidating gains around the 0.0680BTC level. It seems likely the pair could make an attempt to break a key barrier near 0.0700BTC during upcoming sessions.
The hourly chart of ETH/USD is pointing to a crucial uptrend from the $505.00 swing low. The pair traded as high as $621.70 before starting a downward correction. It tested the $600.00 support area and traded close to the 23.6 percent fib retracement level of the last wave from the $528.00 low to $621.70 high.
More importantly, there is a significant bullish trendline forming with support at $590.00 on the same chart. Ether’s price is likely to consolidate above $600.00 in the short term before it breaches the $621.70 high.
To the topside, there is a connecting resistance trendline in place at $630.00. The next major hurdles on the upside are at $640.00 and $665.00.
Moving up to the 6-hour chart of ETH/USD, the pair will most likely accelerate gains to complete the current third wave from the $363.68 low around the $650.00-665.00 zone.
On the flip side, should Ether correct lower (and further below $600.00), a crucial support formed near $540.00 is likely to prevent significant declines in the near term. Overall, ETH/USD could extend gains above $620.00 before it starts a substantial downward correction.