ETH/USD Weekly – Neutral To Bullish, But Limited
|Ether price spiked higher versus the US Dollar and my bullish view worked very well.|
|The ETH/USD pair moved above a major resistance area of $11.60-70 to test the $12.00 handle.|
|The pair is currently correcting lower and may test the broken resistance, which can now act as a support.|
Technically, the 12-hours chart indicators are heading north, signaling further upsides.
Ether Price Bullish Trend
ETH was bid aggressively versus Bitcoin as well as the US Dollar. Both ETH/USD and ETH/BTC pairs gained heavily, rising to $12.06 and 0.0195BTC respectively. Ether price was seen trading in a minor range, as highlighted yesterday. However, later the bias changed from neutral to bullish.
There was a nice upside drift in the ETH/USD pair, taking it above the $11.60-70 range resistance to test the $12.00 handle. The Ether bears appeared around the stated handle and prevented any further gains.
It is important to note that during the upside move, the price broke a major resistance zone of $11.60-70. Since the price is currently correcting lower, the same levels may now play a crucial role. It might offer bids and act as a buy area.
The $11.60-70 support area also represents 50% Fib retracement level of the last wave from the $11.49 low to $12.06 high. So, it holds a lot of importance going forward.
When we look at the 12-hours chart, the last 4-5 candles are bullish and signaling positive bias. There is also a move above a bearish trend line on the same chart. So, there is a high probability that the price may gain traction and climb further.
However, when we analyze the same chart carefully, we will know that the $12.00-20 area represents a monster barrier for the ETH bulls. It provided offers on many occasions. Therefore, it looks like the price is now heading towards another challenge and it would be interesting to see how sellers react.