ethereum price is attempting an upward correction from the $2,150 support. eth could gain pace if it breaks the $2,240 resistance zone.
- ethereum started a bullish correction from the $2,165 zone.
- The price is trading below $2240 and the 100 hourly simple moving average.
- There was a break above a connecting bearish trend line with resistance near $2,235 on the hourly chart of eth/USD (data via Kraken).
- The pair could start a steady rise if it breaks the $2,240 resistance zone.
ethereum Price Holds Support
ethereum price extended its decline below the $2,240 support zone. eth spiked below $2,200 before bulls appeared near the $2,165 level. The price formed a short-term base and began a bullish correction like bitcoin.
There was a move above the $2200 resistance level. Additionally, there was a break above a connecting bearish trend line with resistance near $2235 on the hourly chart of eth/USD. However, the bears are active near the $2,240 resistance. They defended the 23.6% Fibonacci retracement level of the downside move from the high of $2,480 to the low of $2,165.
ethereum is now trading below $2,240 and the 100 hourly simple moving average. On the upside, the price is facing resistance near the $2,240 level.
The next hurdle could be $2,300 or the 100 hourly simple moving average, above which the price could rise and test the 50% Fibonacci retracement level of the downward move from the high of $2,480 to the low of $2,165 at $2,320. The next major resistance is now near $2,360.
<img decoding="async" class="alignnone size-full wp-image-571363" src="https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png" alt="ethereum Price” width=”1024″ height=”461″ srcset=”https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=1835 1835w, https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=460 460w, https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=768 768w, https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=860 860w, https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=1536 1536w, https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=750 750w, https://technicalterrence.com/wp-content/uploads/2024/01/Ethereum-price-is-primed-for-a-correction-and-only-one.png?w=1140 1140w” sizes=”(max-width: 1000px) 100vw, 1000px” loading=”lazy” data-recalc-dims=”1″/>
Fountain: ETHUSD on TradingView.com
A clear move above the $2,360 level could start a decent rise. In the indicated case, the price could rise towards the $2,420 level. Any further gains could send the price towards the $2,500 zone.
Another drop in eth?
If ethereum fails to overcome the $2,240 resistance, it could start another decline. Initial support on the downside is near the $2200 level.
The next key support could be the $2,165 area. A downside break below the $2,165 support could initiate another substantial decline. In the given case, Ether could test the support at $2,080. Any further losses could send the price towards the $2,000 level.
Technical Indicators
MACD hourly – The MACD for eth/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for eth/USD is now below the 50 level.
Main Support Level: $2,165
Main Resistance Level: $2240
Disclaimer: The article is provided for educational purposes only. It does not represent NewsBTC's views on whether to buy, sell or hold investments, and investing naturally carries risks. It is recommended that you conduct your own research before making any investment decisions. Use the information provided on this website at your own risk.
