Crypto News

TA: Ethereum Starts Recovery, Why ETH Could Face Resistance Near $1,250

Ethereum declined close to 20% and it tested the $1,050 zone against the US Dollar. ETH price is currently recovering, but it might struggle near $1,200 and $1,250.

  • Ethereum declined heavily after it broke the $1,250 and $1,200 support levels.
  • The price is now correcting losses from $1,042, but it is well below the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $1,300 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could correct further, but the previous support near $1,250 is likely to act as a strong resistance.

Ethereum Price is Recovering Losses

In the past 3-4 sessions, there was a nasty decline in bitcoin and Ethereum below $32,000 and $1,200 respectively. ETH price nosedived almost 20% and it broke many supports such as $1,150 and $1,120.

It traded close to $1,040 and settled well below the 100 hourly simple moving average. A low is formed near $1,042 and the price is currently correcting higher. There was a break above the $1,100 resistance level and the price is showing a few positive signs.

Ether is trading above the 23.6% Fib retracement level of the recent decline from the $1,389 swing high to $1,042 low. On the upside, the first key resistance is near the $1,200 level.

Ethereum Price

Source: ETHUSD on TradingView.com

The next resistance could be near $1,215 or the 50% Fib retracement level of the recent decline from the $1,389 swing high to $1,042 low. There is also a key bearish trend line forming with resistance near $1,300 on the hourly chart of ETH/USD.

If there is a clear break above $1,215, the price is likely to face a strong selling interest near the $1,250 level in the coming sessions. Any more gains could open the doors for a fresh rally towards $1,400.

Fresh Dip in ETH?

If ethereum fails to recover above the $1,200 and $1,210 levels, there is a risk of a fresh decline. An initial support on the downside is near the $1,120 level.

The first major support is near the $1,100 level. The main support is now forming near the $1,050 level. If ether fails to stay above the $1,050 support, it could even decline below the $1,000 support level.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is slowly gaining pace in the bullish zone.

Hourly RSIThe RSI for ETH/USD is currently rising towards the 40 level.

Major Support Level – $1,120

Major Resistance Level – $1,250

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Follow us on social media!

Disclaimer: The opinions expressed within this article are the personal opinions of the author. The facts and opinions appearing in the article do not reflect the views of CoinChapter and CoinChapter does not assume any responsibility or liability for the same.

(This story has not been edited by CoinChapter staff and is auto-generated from a syndicated feed.)
0 Comments
Inline Feedbacks
View all comments
CoinChapter

Founded in 2015, Coinchapter.com has become one of the leading resources for the crypto asset community. Created by a small group of cryptocurrency enthusiasts, Coinchapter.com was built to provide new members of the crypto asset community with unbiased listings of cryptocurrency exchanges and retail options that would allow them to buy the crypto assets that they wanted, how they wanted and at the price they wanted.

Related Crypto News

PlayStation 5 Ethereum Mining Rumor Proven To Be False
A photo of what looks to be a PlayStation 5 hacked to mine Ethereum, with a hashrate of 98.76...
BlockFi Announces Record Payments For Clients In February
Crypto lending firm BlockFi posted another record-breaking month in February. The firm paid out over $35 million in interest...
Tezos Integrated Into Wolfram Blockchain Platform
Wolfram Blockchain Labs announced that its DLT will utilize the blockchain resources of TQ Tezos. Tezos blockchain is now...
Citigroup Believes Bitcoin Could Become Global Currency
According to a recent report published by Citigroup, Bitcoin could one day emerge as the global currency.
Twitter Buying Bitcoin?Raises $1.25 Billion In Convertible Notes
Is Twitter buying Bitcoin? Twitter announced that it has raised $1.25 billion in convertible notes. Giving some the impression...
Bitcoin Rallies Back Towards $50,000 As Bond Sell-Off Cools Off
Bitcoin bounced back, almost hitting $50,000 after last week's turbulent trading, triggered by a sell-off in the US Treasurys...

Featured Crypto News

BlockFi Announces Record Payments For Clients In February
Crypto lending firm BlockFi posted another record-breaking month in February. The firm paid out over $35 million in interest...
Tezos Integrated Into Wolfram Blockchain Platform
Wolfram Blockchain Labs announced that its DLT will utilize the blockchain resources of TQ Tezos. Tezos blockchain is now...
Twitter Buying Bitcoin?Raises $1.25 Billion In Convertible Notes
Is Twitter buying Bitcoin? Twitter announced that it has raised $1.25 billion in convertible notes. Giving some the impression...
Bitcoin Rallies Back Towards $50,000 As Bond Sell-Off Cools Off
Bitcoin bounced back, almost hitting $50,000 after last week's turbulent trading, triggered by a sell-off in the US Treasurys...
Bitcoin Price Surges After MicroStrategy Increases BTC Holdings
The price of Bitcoin shot up 7% on Monday following MicroStrategy's announcement. That is purchased an additional $15 million...
Cardano To Update Mary Protocol On March 1
Cardano’s core development team announced that the Mary protocol update will go live on March 1. Input Output also...