ETH/USD Basing For Next Move?
|ETH/USD failed to hold the $225.00 support and moved towards $200.00.|
|A bullish trendline with support at $215.00 was broken on the 2-hour chart.|
|ETH/BTC failed to move above the 0.10BTC resistance and corrected towards 0.090BTC.|
Technically, the 2-hour chart indicators are consolidating above their midlines in the bullish territory.
Ether Price to Bounce Again?
Ether has consolidated its gains against the US dollar, as the price had retreated down to the $200.00 mark on Thursday morning.
The ETH/USD pair failed to hold the $225.00 support area and the 23.6 percent Fibonacci retracement level of the last leg from the $133.79 low to $256.08 high. It prompted an extended correction and Ether’s price slipped below $200.00.
During the downside move, the pair broke a bullish trendline with support at $215.00 on the 2-hour chart. Later, the price recovered and is currently positioned well above the $200.00 support. There was a complete test of the 50 percent Fibonacci retracement level of the last leg from the $133.79 low to $256.08 high.
At the moment, the price is forming yet another breakout pattern on the 2-hour chart with resistance near a bearish trendline at $215.00. The trendline is also positioned around the 38.2 percent Fibonacci retracement level of the decline from the $256.08 high to $187.40 low.
On the downside, the $200.00 support holds the key. A close on either side ($215.00 or $200.00) could trigger the next move in ETH/USD.
Moving on to the 6-hour chart of ETH/USD, the pair is placed well above the broken trendline at $190.00-195.00. On the upside, the recent rejection was from $250.00 (previous support now resistance).
To summarize, the price might consolidate above $200.00 for some time before attempting an upside break above $215.00 and $225.00 to retest $240.00. On the other hand, a daily close below $200.00 could again put Ether’s price back in the bearish zone.