The ETH/USD pair corrected lower yesterday as forecasted and moved back higher. It looks like the pair is setting up for more gains going forward.
Ether price after a successful correction against the US Dollar found bids and traded higher once again.
My yesterday’s view of a test of $12.00 was correct, as the price traded near it and then gained traction.
The ETH/USD pair looks like completed a correction wave and may extend the current upside move.
From a technical point of view, Ether price has made good progress, but facing a tough resistance near $13.00-$13.20 levels.
ETH/USD Remains Buy?
The Ether gained started a correction yesterday against the US Dollar, which was completed near $12.00. The stated level was highlighted as a major support in yesterday’s post, which did the trick in fetching buyers for the ETH/USD pair.
It was a perfect dip and bounce scenario looking at the hourly chart of the ETH/USD pair. Currently, the pair is following an ascending channel with an immediate support around $12.80.
On the upside, the most important resistance is near the $13.00-$13.20 levels. The ETH bulls struggled on many occasions in the past to break the mentioned levels, and it looks like they have a task on their hand this time.
A break above the channel resistance trend line and $13.20 may push the price further higher, and could ignite an extension of the current upside move. The importance of the stated resistance levels is also visible on the 4-hours chart, which clearly highlights how it acted as a barrier for upsides.
In my view, there is a high possibility of ETH/USD breaking the highlighted resistance area. If that happens, a test of $13.60 or $13.80 is possible in the short term.
Important Resistance Levels
$13.20 and $13.60
Important Support Levels
$12.80 and $12.40
The RSI is well above the 50 level, which is positive sign considering the current market sentiment.
The MACD is showing strong bullish signs, suggesting further gains in ETH.
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial marketsETHNews is commited to its Editorial Policy
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