Ethereum Price Consolidate Gains and Seems Poised For Upside Break

Ethereum climbed higher above the $1,320 resistance zone against the US Dollar. ETH tested the $1,350 zone and is currently consolidating gains.

Ethereum started a decent increase above the $1,300 and $1,320 resistance levels.
The price is now trading above $1,320 and the 100 hourly simple moving average.
There is a key bullish trend line forming with support near $1,295 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start another increase if it stays above the $1,280 support zone.

Ethereum Price Eyes More Upsides

Ethereum price started a decent increase above the $1,300 resistance. ETH was able to settle above the $1,300 resistance zone and gained pace for a move above $1,320, similar to bitcoin above $17,000.

The bulls pushed the price towards the $1,350 resistance zone. A high was formed near $1,346 and the price is now consolidating gains. It is approaching the 23.6% Fib retracement level of the upward wave from the $1,263 swing low to $1,346 high.

Ether is now trading above $1,320 and the 100 hourly simple moving average. There is also a key bullish trend line forming with support near $1,295 on the hourly chart of ETH/USD.

Source: ETHUSD on TradingView.com

An immediate resistance is near the $1,340 level. The next major resistance is near the $1,350 level. A proper close above the $1,350 resistance could another decent increase. In the stated case, the price may perhaps climb higher towards the $1,420 resistance. Any more gains might send the price towards $1,500, above which the price could rise towards the $1,650 resistance zone.

Dips Limited in ETH?

If ethereum fails to clear the $1,340 resistance, it could start a downside correction. An initial support on the downside is near the $1,320 level.

The next major support is near the $1,300 level and the trend line. It is near the 50% Fib retracement level of the upward wave from the $1,263 swing low to $1,346 high. A downside break below the trend line support might send the price towards the $1,280 support. Any more losses might call for a test of the $1,250 zone.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 level.

Major Support Level – $1,280

Major Resistance Level – $1,340