Technically, the 2-hour chart indicators are correcting from the overbought levels.
Ether Price Analysis
There were further gains in ETH/USD above yesterday’s high at $476.98. The pair traded above the $480.00 level and formed a new weekly high at $482.01 before starting a downward correction.
On the other hand, ETH/BTC struggled to move above a major resistance at 0.0720BTC. The pair declined and broke the 0.0700BTC pivot level to trim yesterday’s gains.
Let’s start with the 6-hour chart of ETH/USD to understand the current correction wave. The pair traded above a key resistance at $476.00 and the 76.4 percent Fibonacci retracement level of the last decline from the $495.49 high to $418.40 low.
However, Ether’s price faced a strong resistance near the previous swing highs formed between July 02 and July 10. As a result, a high was formed at $482.01 and the price started a short-term downward correction.
It seems like Ether formed a short-term top above $480.00, but the current correction will most likely find buyers on dips. Many supports have formed, starting with a bullish trendline at $465.00 on the 2-hour chart of ETH/USD.
Below the trendline, there is a horizontal support at $455.00, followed by another bullish trendline and a crucial support at $450.00 (the previous resistance). Therefore, dips in Ether toward $450.00 are likely to find a strong buying interest.
The medium-term picture for ETH/USD is mostly positive, as the pair keeps developing above its moving averages. An initial resistance awaits at $475.00 followed by $482.00, above which, bullish momentum will most likely increase. The most significant resistance for the next major upward move is near $495.00-500.00.