Ethereum Price Hits Uptrend Support, Can Bulls Save The Day?

Key Takeaways:

Ether price declined sharply from the $2,150 resistance.
ETH/USD is testing a crucial bullish trend line with support at $1,920 on the daily chart.
The price could either start a fresh increase or decline further toward $1,800.

Ethereum Price Hits Uptrend Support | Photo by Gilly on Unsplash

Ethereum’s ETH is correcting gains from $2,150. It must stay above $1,920 to start a fresh increase in the coming sessions.

Ethereum (ETH) Price Reaches Key Juncture

This past week, Ethereum saw a strong increase above the $2,000 resistance zone against the US dollar. The ETH/USD pair even spiked above the $2,100 level before the bears took a stand near the $2,150 zone.

A high was formed near $2,146 and Ether recently saw a sharp decline, similar to Bitcoin. The bears were able to push the price below the $2,000 support zone. The price traded below the 23.6% Fib retracement level of the upward move from the $1,687 swing low to the $2,146 high.

Ethereum’s daily price chart | Source: ETHUSD on TradingView.com

The price is now trading near a major support at $1,920 and is well above the 50-day simple moving average. ETH is also testing a crucial bullish trend line with support at $1,920 on the daily chart.

The trend line support is close to the 50% Fib retracement level of the upward move from the $1,687 swing low to the $2,146 high. If the bulls fail to protect the trend line support, there is a risk of additional losses.

The first major support is near the $1,840 level. The next major support is near the $1,800 zone and 50-day simple moving average. A close below the $1,800 level might push the price into a bearish zone. In the stated case, the price may perhaps decline toward the $1,550 support.

Fresh Increase?

Conversely, Ethereum might start a fresh increase from $1,920. On the upside, immediate resistance is near the $2,000 level. The first major resistance is near the $2,040 level. The next major resistance is near the $2,150 level.

A clear move above the $2,150 resistance might start another strong increase. The next major resistance is near the $2,220 zone, above which ether could surge toward the $2,400 resistance.

Overall, Ether price is trading near a key juncture at $1,920. If the bulls fail to protect $1,920, there could be a drop to $1,800. On the other hand, ETH might start a fresh increase toward $2,150.