Technically, the 2-hours chart is showing a flat structure, suggesting ranging moves before a break.
Can Ether Price Correction Last Long?
This week started in slow motion, as Ether price started a tiny recovery or we can say a correction pattern against the US Dollar and Bitcoin. The ETH/USD pair after retesting the $9.50 support started correcting higher.
There is a short-term bullish trend line formed on the 30-min chart, which is currently holding the correction wave. It looks like the current wave may soon end, as there are many resistances on the way up as highlighted in the chart.
Even if the pair breaks the resistance 1 and 2, it won’t be easy to clear $9.75-80. It is a major resistance for ETH/USD, and may stop an upside move. So, looking at the 30-min chart, it looks like the price may soon end the correction and move down once again.
Now, when we look at the 2-hours chart of ETH/USD, there is a contracting breakout pattern formed. The triangle resistance trend line is coinciding the 23.6% Fibonacci retracement level of the last decline from the $10.35 high to $9.45 low.
So, it can be considered as a breakout level for more upsides. If there is a successful close above $9.75-9.80, the chances of a move towards $10.00-10.20 may increase.
On the downside, the recent low of $9.45-50 is a support zone. A close below it would clear the way for a move towards $9.00. Overall, it depends on whether there is an increase in buying interest for ETH for further gains in the short term.