Ethereum price started a short term consolidation above $116.00. ETH/USD could gain bullish momentum if buyers succeed in pushing the price above $120.00-122.00.
- Ethereum’s price is placed above the $115.00 and $116.20 support levels.
- ETH/USD may recover towards $130.00 if there is a break above $120.00 and a contracting triangle on the 30-minute chart.
- The price seems to be preparing for the next break either above $120.50 or below $116.20.
Ethereum Price Analysis
Yesterday, there was a sharp decline below $110.00 in Ethereum price. ETH/USD tested the $106.00-107.00 support area and later recovered above the $110.00 and $115.00 levels.
Click to Enlarge Chart
Looking at the 30-minute chart of ETH/USD, the pair climbed above the $115.00 resistance and the 50% Fib retracement level of the last downward move from the $128.15 high to $107.51 low. The price even traded above the $118.00 level and the 25 simple moving average (30-min).
However, there was no clear break above the $120.00 resistance. Buyers also struggled to surpass the 61.8% Fib retracement level of the last downward move from the $128.15 high to $107.51 low.
As a result, the price declined a few points and later started trading in a range above the $116.00 support area. At the outset, there is a short term contracting triangle formed with resistance near $119.0 on the same chart.
If there is an upside break above the triangle and the $120.50 range resistance, the price could trade higher towards the $123.00 and $125.00 resistance levels. The main resistance above $125.00 is near the last swing high at $128.15, followed by $130.00.
On the other hand, if there is a downside break below the range support at $116.20, the price may perhaps resume its bearish moves and it could decline towards the $112.00 level. The main supports on the downside for Ethereum price are at $110.00 and $107.00. Overall, ETH is preparing for the next break either above $120.50 or below $116.20 in the near term.
The market data is provided by TradingView, Bitfinex.