Ethereum price tested the $225.00 resistance and later corrected lower. ETH/USD may perhaps correct towards the $214.00 level, which is a major support area.
- Ethereum price traded further higher towards $225.00 before correcting lower.
- ETH/USD broke an ascending curve pattern with support at $221.00 on the 30-minute chart.
- The price may continue to correct lower towards the $214.00 or $215.00 support.
Ethereum Price Analysis
Yesterday, we discussed that Ethereum price is likely to revisit the $219.00-220.00 zone. The price did gain pace, traded above the $220.00 zone, and spiked to a new weekly high near the $225.00 level.
Click to Enlarge Chart
Looking at the 30-minute chart of ETH/USD, the pair remained in a positive zone and traded above the $220.00 and $222.00 resistance levels. A fresh weekly high was formed at $225.07 before the price started a short term correction.
Sellers pushed the price below the $222.00 support and the 23.6% Fib retracement level of the last wave from the $207.83 low to $225.07 high. Moreover, there was a break below an ascending curve pattern with support at $221.00 on the same chart.
At the moment, the price is trading below $220.00 and the 25 simple moving average (30-min). If sellers remain in action, there are chances of more slides towards the $214.00-215.00 support area.
Besides, the 61.8% Fib retracement level of the last wave from the $207.83 low to $225.07 high is near $214.40 to provide support if the price continues to move down from the current levels. Any further declines below $214.00 could push the price back towards the $208.00 support area in the coming sessions.
On the other hand, if the $214.00-215.00 support area holds the current decline, the price could bounce back. An initial resistance on the upside is $222.00, above which the price may revisit the $225.00 swing high.
Therefore, there could be a downside extension in the short term towards $214.00, but buyers are likely to prevent major slides considering the current price action and technical structure.
The market data is provided by TradingView, Bitfinex.