Technically, the daily chart indicators are currently near their midlines with a slight bearish bias.
Ether Price to Bounce Back
This past week has bee mostly negative for Ether especially against bitcoin. ETH/BTC declined sharply and even traded below the 0.050BTC support due to a solid rise in bitcoin price.
ETH/BTC’s decline also dragged ETH/USD from well above $350.00 to well below $300.00. However, the downside move was protected by a major support area at $288.00-$286.00.
Sellers attempted to break the mentioned $286.00 support on a few occasions, but failed to gain strength. Looking at the daily chart of ETH/USD, there are two bullish trendlines forming with current support at $290.00.
These trendlines prevented a downside break recently and averted declines below $286.00. The pair is currently holding the mentioned uptrend support near $290.00-$286.00 and will most likely move higher in the near term.
Below $286.00, the pair could test the 50 percent Fibonacci retracement level of the last wave from the $200.91 low to $352.70 high near $275.00.
On the upside, there is a connecting bearish trendline on the same chart with current resistance at $340.00. Earlier, the same trendline stopped buyers from taking control above $350.00, and it should continue to act as a major pivot region for Ether during the upcoming week.
Should there be a close above the trendline resistance at $340.00, the price could attempt a break above the last swing high at $350.00. Gains above this last would set the pace for a move toward the $400.00 handle.
Dropping down to the 2-hour chart of ETH/USD, the pair recently broke a short-term bearish trendline at $299.00, but struggling to gain traction. There is another bearish trendline waiting around $308.00 to prevent an upside break.
Above $308.00, the next major barrier is near $320.00. A successful close above $320.00 would open the doors for more gains in the near term. In the medium-term, Ether remains in an uptrend above $275.00 and it will most likely attempt an upside break above $308.00 and $320.00 during the upcoming week.