Ethereum Price Analysis: ETH Holding Crucial Uptrend Support At $240

  • Ethereum price is trading in an uptrend above the $240 support against the US Dollar.
  • ETH price must break the $248 and $252 resistance levels for more gains.
  • There is a key bullish trend line forming with support near $240 on the 4-hours chart (data feed from Coinbase).
  • The pair is likely to accelerate higher towards $265 if it clears the $252 level.

Ethereum price is showing a few positive signs above $240 against the US Dollar. ETH/USD is currently struggling to gain strength above the $248 and $252 resistance levels.

Ethereum Price Analysis

After a strong surge, Ethereum price failed to retain strength above the $250 level against the US Dollar. ETH price traded as high as $253 and later corrected lower below the $240 level.

However, the price found support near the $225 level and remained well bid above the 55 simple moving average (4-hours). In the past few days, the price recovered from $225 and climbed above the $240 level.

There was a break above the 50% Fib retracement level of the downward move from the $253 high to $225 low. On the upside, the price seems to be facing a strong resistance near the $248 and $252 levels.

Ethereum is also struggling to gain pace above the 76.4% Fib retracement level of the downward move from the $253 high to $225 low. On the downside, there is a key bullish trend line forming with support near $240 on the 4-hours chart.

If the price fails to stay above the trend line support, it could start a fresh decline below the $240 level. A successful close below the 55 simple moving average (4-hours) may perhaps push the price back towards the $225 support level in the near term.

Conversely, the price could start a major upward move above the $248 and $252 resistance levels. In the mentioned case, the bulls are likely to aim a test of the $265 level. Any further gains might lead the price towards the $280 resistance zone in the coming sessions.

Ethereum Price

Looking at the chart, Ethereum price is trading in an uptrend above the $240 support. It seems like the price is likely to accelerate higher towards $265 if it clears the $252 level. If not, it could dive to $225 or $220.

Technical indicators

4 hours MACD – The MACD for ETH/USD is losing momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is still above the 50 level.

Key Support Levels – $240, followed by the $225 zone.

Key Resistance Levels – $252 and $265.

Source: livebitcoinnews.com

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