Ethereum fell recently but stayed above the important $ 355 support against the US dollar. ETH price is likely to rise higher as a double floor pattern appears to be forming near $ 355.
- Ethereum fell below the USD 370 support but stayed above the USD 355 support.
- The price holds the main support at $ 355 but is below the 100 hour simple moving average.
- A bearish bearish trendline is forming on the hourly chart of ETH / USD (data feed via Kraken) with resistance near USD 370.
- The pair needs to stay above the USD 355 support level to start a new rally in the short term.
Ethereum price is likely to be a key floor
For the past three sessions, Ethereum has seen spike in selling pressure below $ 375. ETH price broke the USD 370 support zone and was even below the 100 hour simple moving average.
However, the bulls were able to protect key support levels of $ 355 and $ 350. A low is being formed near $ 355 and the price is currently consolidating losses. It appears that a double bottom pattern is forming with support near $ 350.
On the upside, there is initial resistance near the $ 362 level, or the 23.6% fib retracement level of the recent fall from the high of $ 384 to the low of $ 355. The main hurdle for the ether price is near the USD 370 level.
Ethereum price trades below $370. Source: TradingView.com
A bearish bearish trendline is also forming on the hourly chart of ETH / USD with resistance near USD 370. The trendline coincides with the 100 hour simple moving average and 50% Fib retracement level of the recent fall from the high of $ 384 to the low of $ 355.
A successful close above the USD 370 resistance could confirm the double bottom pattern. In the aforementioned case, the price is likely to continue rising towards the USD 390 and USD 400 resistance levels in the near future.
Downward pause at ETH?
If Ethereum fails to hit the $ 370 and $ 375 resistance levels, it risks breaking down. The main support is near the raised floor zone at $ 355 and $ 350.
If there is a downside break below the USD 350 support zone, the ether will likely continue to descend. The next major support is near the $ 342 level, below which the price could revisit the $ 330 zone.
Hourly MACD – – The MACD for ETH / USD is slowly moving in the bullish zone.
Hourly RSI – – The RSI for ETH / USD is currently just above the 40 level.
Main Support Tier – $ 355
Main Resistance Level – $ 370