Ether Price Still In Consolidation Mode above Short-Term Support
|Ether price failed to regain $12.00 handle and moved down once again versus the US Dollar.|
|It looks like the ETH/USD is still in consolidation mode, but remains supported on the downside.|
|There is a critical bullish trend line on the 2-hours chart of ETH/USD, which is acting as a support at the moment.|
Technically, medium term indicators still favor an upward continuation, which can extend if there is a close above $12.00.
Ether Price Consolidation
Ether price managed to pop yesterday against the US dollar, but failed to extend gains above $12.00 handle. There was rejection noted around the stated level, pushing the price back down. The ETH/USD pair moved down, but managed to find support near the last swing low of $11.60.
Looking at the hourly chart of ETH/USD, there is a consolidation pattern forming with support at $11.60. On the upside, there is a short-term bearish trend line, preventing an upside break. It is like a contracting triangle pattern, which is about to break.
The chances of an upside break are more, as the $11.60 support is holding strong. If Ether bulls manage to take the price above the triangle resistance trend line, then $12.00 handle might be tested once again.
The 2-hours chart points out the reason why the possibility of an upside break is more. There is a bullish trend line formed (green), which acted as a support earlier and currently helping the bulls to prevent a downside break.
As long as the pair is above the highlighted trend line and support area, it may gain traction for a move higher. Only a break below it could encourage bears to take the pair further lower. In my view, the pair remains supported on the downside, but the bulls must not get too excited about it.