ETH/USD Forecast: Crucial Break Ahead
|Ether remained in the bullish zone but is soon approaching a key break against the US dollar.|
|There is a contracting triangle pattern with resistance near $226.00 forming on the 2-hour chart.|
|ETH/BTC corrected lower and moved below a major support of 0.080BTC.|
Technically, the 2-hour chart indicators are moving to and fro above their midlines in the bullish territory.
Ether Price Struggling to Move Higher?
The ETH/USD pair continued to hold the $210.00 support with little directional strength and within a confined range. On the other hand, the ETH/BTC pair corrected lower from 0.082BTC and moved below an important support of 0.080BTC.
The ETH/USD pair still lies within a bullish trend despite ongoing consolidation above the $210.00 support. Looking at the 30-min chart, there is a solid bullish trendline forming with support near $224.00.
The trendline support is holding losses and protecting a downside break towards $210.00. Furthermore, there is a clear contracting range pattern forming with support at $223.00 and resistance near $227.00.
The recent dip in ETH/USD was well protected by the trendline and the 50 percent Fibonacci retracement level of the last leg from the $216.24 low to $227.99 high.
The 2-hour chart shows a clear picture of the current trend. It seems like Ether’s price is approaching a crucial break since there is a contracting triangle pattern forming with resistance near $226.00.
The triangle support sits at $223.00 and holds a lot of significance in the short term. Should there be a break and close below $223.00, the price may drop back towards $210.00.
Just above $210.00, there is a connecting bullish trendline on the same chart. To the upside, an initial resistance is near $226.00-227.00 (daily high and the triangle resistance). A successful close above $226.00 followed by a break of $230.00 would signal upward strength.
The intraday outlook favors the upside with limited downsides below $210.00 ahead of the weekend.