Ethereum is about to see a “take off” if it is able to maintain a crucial level

Ethereum corrected lower from the $ 4,150 resistance zone against the US Dollar. ETH price maintains the $ 4,000 support and a new surge could start.

  • Ethereum is trading above the $ 4,000 and $ 4,050 support levels.
  • The price is trading above $ 4,040 and the 100 hourly simple moving average.
  • A key downtrend line is forming with resistance near $ 4,100 on the hourly chart of ETH / USD (data feed via Kraken).
  • The pair must stay above $ 4,000 to continue higher in the near term.

Ethereum price has key support

Ethereum attempted an upside breakout above the $ 4,150 resistance zone but failed. ETH started a downward correction and traded below $ 4,100.

There was a break below the 23.6% Fib retracement level of the up move from the $ 3,895 low to $ 4,155 high. The price even spiked below $ 4,050 and the 100 hourly simple moving average. However, the bulls were active near the $ 4,000 level.

The 50% Fib retracement level of the up move from the $ 3,895 low to $ 4,155 high also acted as support. It is now rising and trading above the 100 hourly simple moving average.

Ethereum Price

Source: ETHUSD on TradingView.com

An immediate resistance on the upside is near the $ 4,100 level. A key downtrend line is also forming with resistance near $ 4,100 on the hourly chart of ETH / USD. The next major resistance is near the $ 4,155 level. A clear break to the upside above the $ 4,155 level could start another major rally in the near term. In the indicated case, the price could rise to the level of $ 4,250. More gains could send the price towards the $ 4,350 level.

Dips Limited on ETH?

If ethereum does not initiate a new surge above the $ 4,100 level, it could correct it further. An initial support on the downside is near the $ 4,040 level and the 100 hourly SMA.

The first key support is now forming near the $ 4,000 level. A break to the downside below the $ 4,040 and $ 4,000 levels could put a lot of pressure on the bulls. In the indicated case, the price could decline towards the $ 3,920 support zone in the short term.

Technical indicators

MACD per hourThe MACD for ETH / USD is gaining momentum in the bullish zone.

RSI per hourThe RSI for ETH / USD is above the 50 level.

Major Support Level – $ 4,000

Major Resistance Level – $ 4,155

Source: https://www.newsbtc.com/analysis/eth/ethereum-liftoff-crucial-level-4k/

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