ETH/USD Forecast: Can Ether Capitalize Post Upside Break?
|Ether finally broke a crucial resistance region near $298.00-$300.00 against the US dollar.|
|There is a key bullish trendline forming with support near $300.00 on the 6-hour chart of ETH/USD.|
|ETH/BTC remained range-bound above 0.072BTC and is struggling for direction.|
Technically, the 2-hour chart indicators are gaining momentum in the bullish territory.
Ether Price to Continue Higher
We have been waiting for ETH/USD to break a crucial resistance zone near $298.00-$300.00. The pair did surpass the mentioned resistance and settled temporarily above $300.00.
Looking at the 2-hour chart of ETH/USD, there were three back-to-back candles during the upside break towards $310.00. A new weekly high was formed at $312.40 before sellers stepped in and protected further gains.
The recent upside break is very bullish since the price is now above the 50 percent Fibonacci retracement level of the last major drop from the $395.41 high to $200.91 low.
The price is currently correcting lower and heading towards the $300.00 support, which prevented upsides earlier and now will now possibly act as a strong support.
Below $300.00, the $298.00 support and the 23.6 percent Fibonacci retracement level of the last wave from the $252.03 low to $312.40 high could be the next major hurdle for further declines.
There is also a connecting bullish trendline forming on the same chart with support near $295.00. Moving on to the 6-hour chart of ETH/USD, the last candle close was clearly above $300.00.
Therefore, the recent break is a positive sign for Ether buyers. In the short term, the price might correct a few points and consolidate in a range, but as long as the $298.00-$295.00 levels are intact, it would resume its upside move.
On the upside, the next major resistance is near $316.00 and the 61.8 percent Fibonacci retracement level of the last major drop from the $395.41 high to $200.91 low. An intermediate resistance is near the recent high at $312.00.