The Ethereum price is gaining bullish momentum as we speak and is trying to surge above the $135 level in the past few hours. Speaking of, this level was established easy as Bitcoin rose to new heights. ETH is very bullish and is in the crypto news today for its quick surge and the price trading above $135 means that we could see a new 2020 high for the biggest altcoin by market cap.
All of this started when Ethereum extended its decline to test the $125 support against the US Dollar. A strong support base was formed near $125 which resulted in a steady rise above the $128 resistance level.
Additionally, we can see that the price surpassed the important 50% Fib retracement level of the key decline from the $138 high to the $125 low. It also opened the doors for more gains above $130 and the 100 simple moving average.
Most importantly, we could see a break above a key declining channel or bullish flag with resistance near $130 on the 4-hour chart of ETH/USD. The pair is now stable and ETH is bullish, trading nicely above the $135 levels.
However, an immediate resistance is near the $140 level and represents the 1.236 Fib extension level of the key decline from the $138 high to the $125 low. The current momentum seems to be very positive, suggesting a clear follow through above the $142 resistance and a final touch to $145. Any further gains could lead the price of the coin towards the $150 and $155 resistance levels.
ETH is very bullish – but if the Ethereum price fails to stay above 100 SMA, it may continue to move down towards the $128 support level in the near term. The main support is set near $125 and $122. As the above chart indicates, the Ethereum price is trading in a positive bias and there are high chances of more gains towards the $142 and $145 resistance levels.
The technical indicators are as following:
- 4 hours MACD – The MACD for ETH/USD is gaining strength in the bullish zone.
- 4 hours RSI – The RSI for ETH/USD is currently well above the 60 level.
- Major Support Level – $125
- Major Resistance Level – $138
Meanwhile, the ETH news also make up for a bigger market – the total cryptocurrency market cap is now at $199 billion.
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