ETH/USD Forecast: Range Trading Continues
|Ether trades stable around $295.00 against the US Dollar and unable to find a certain direction.|
|ETH/USD continues to move inside a crucial range with support above $275.00 and resistance near $320.00.|
|ETH/BTC extended its recovery by roughly 2% above 0.071BTC.|
Technically, the 4-hour chart indicators are stable and placed well above their midlines in the bullish territory.
Ether Price Extended Range
ETH/USD maintains a neutral short-term stance, trading above its 50 SMA and 20 SMA in the 4 hours chart, yet both moving averages lack bullish directional strength.
On the other hand, the ETH/BTC pair after declining sharply from well above 0.080BTC to 0.070BTC finally found support and currently correcting higher towards 0.074BTC.
Let’s start with the 4-hour chart of ETH/USD that clearly highlights an extended range with resistance near $320.00 and support above $275.00. The pair recently formed an inverted hammer candle around $310.00 and started a downside move.
It recently broke a connecting bullish trendline at $299.00. However, the downside move was restricted due to limited directional strength.
On the upside, there is a bearish trendline positioned at $305.00. A successful close above $305.00 would open the doors for an upside extension towards the range resistance of $320.00.
Moving on to the hourly chart of ETH/USD, the pair recently broke a major support level at $299.00. The mentioned $299.00 is currently acting as a resistance and protecting gains.
However, the pair recently tested the $290.00 support and the 61.8 percent Fibonacci retracement level of the last wave from the $280.46 low to $310.25 high. Therefore, there are chances that Ether would break $299.00 and move towards the next resistance at $305.00.
In the same chart, the price action suggests a neutral-to-bearish bias and lack of directional strength. A bearish extension could be seen on a break below $290.00, while a break above $299.00 should favor additional gains for today, yet still remain limited to the $310.00 price zone.