Crypto News

Ethereum Rallies 15% But Here Is Why It Could Correct In Short-Term

Ethereum is up more than 15% and it broke the key $150 and $160 hurdles versus the US Dollar, while bitcoin jumped above $8,800. However, the current price action suggests ETH could correct towards $160 before it continues higher.

Ether price rallied significantly after it broke the $148 resistance area against the US Dollar.
The price even surged above the $160 level and traded as high as $171.
There is a key bullish trend line forming with support near $162 on the hourly chart of ETH/USD (data feed via Kraken).
The pair is likely to correct lower towards $162 or $160 before it starts a fresh increase.

Ethereum Rally Might Pause In Short Term
Yesterday, we discussed the chances of an upside break in Ethereum above the $148 resistance against the US Dollar. ETH price did climb above the $148 and $150 resistance levels, opening the doors for a sharp rise.
As a result, the bulls tool control and the price rallied more than 15%. It broke the $160 and $165 resistance levels. Moreover, there was a close above the $160 level and the 100 hourly simple moving average.
A high was formed near the $171 level and Ethereum seems to be showing signs of a downside correction. It is already below the 23.6% Fib retracement level of the recent rally from the $153 low to $171 high.
The first key support on the downside is near the $162 level. Besides, the 50% Fib retracement level of the recent rally from the $153 low to $171 high is also near the $162 level.
Ethereum Price
More importantly, there is a key bullish trend line forming with support near $162 on the hourly chart of ETH/USD. Therefore, dips in Ethereum remains well supported near the $162 and $160 levels.
More Upsides In ETH After Correction?
There could be a downside correction towards $160 in the short term, but it does not mean the current uptrend is over. After the price completes a downside correction, it is likely to bounce back above $165 and $170.
The main resistance is near the $170-$172 zone. A clear break above the $172 zone might set the pace for more upsides towards the $180 pivot and resistance area, especially if bitcoin surges above the $9,000 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is showing signs of a downside correction in the bullish zone.
Hourly RSI – The RSI for ETH/USD is currently correcting lower from the overbought zone.
Major Support Level – $162
Major Resistance Level – $172 The post appeared first on NewsBTC.

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Follow us on social media!

Related Crypto News, a Safe, Fast and Reliable P2P Crypto Exchange, Launches Operations
While there are many crypto exchanges, fear of hacking and theft has slowly crept into crypto traders due to...
2020 Is Becoming the Year of Staking With Some Major Achievements
While both PoW and PoS have a lot to offer, this year, in particular, is promising to be a...
Community-Verified Oracle Platform Aims to Better Chainlink’s Accuracy
DeFi-focused oracle platform DIA is using crowd-sourcing to improve the accuracy of price oracles. Oracle platforms, which provide links...
Alleged Twitter Hack ‘Mastermind’ Owns $3 Million in Bitcoin, Bail Set at $725K
Regional reports from Tampa show that the alleged “Mastermind” behind the July 15, Twitter hack owns more than $3.3...
Bitcoin Market Cap Is Now Bigger Than Intel or Coca-Cola
Bitcoin overtakes Intel and Coca-Cola at a market capitalization of $205 billion. Amid a major bullish trend on cryptocurrency...
Volatility Data Suggests Bitcoin Price Drop to $10K Before Rally Resumes
Volatility metrics suggest Bitcoin price may revisit $10,000 before restarting the rally to a new 2020 high. A recent...

Featured Crypto News

Bitcoin Price Climbs to $11,200, But Three Factors Hint at a Pullback
The price of Bitcoin spikes to $11,200 but three key factors suggest that a short-term pullback is likely as...
Bitcoin Could Hit $12K on Ethereum-Tailing Behaviour: Analyst
Bitcoin is eyeing a breakout towards $12,000, according to crypto-chart analyst Josh Rager. The analogy appears out of Ethereum’s...
Unexpected Factor That Suppressed Bitcoin Bulls in 2019 Is Now Gone
If you’ve been involved in the Bitcoin market over the past year, you know of PlusToken. PlusToken was a...
Ether Rockets 50% in 5-Year Anniversary Month: What’s Behind the Rally?
As Ethereum turns five years old, Ether is up 50% over the past month with two main catalysts driving...
This Simple Bullish Pattern Suggest Ripple (XRP) Could Surge Above $0.25
Ripple is up over 2% and it is showing positive signs above the $0.2400 resistance zone against the US...
Will Ethereum Overtake Bitcoin as the World’s Leading Token?
Ever since it was first released to the public in January 2009, Bitcoin has been the leading player in...