Ethereum climbed further higher above $1,620 against the US Dollar. ETH is consolidating gains and might aim another rally towards the $1,720 level.

Ethereum is correcting gains from the $1,655 and $1,665 resistance levels.
The price is now trading above $1,600 and the 100 hourly simple moving average.
There was a break below a key bullish trend line with support near $1,630 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could rally again if it stays above the $1,600 support zone.

Ethereum Price Eyes Another Increase

Ethereum price started a steady increase above the $1,500 resistance zone. ETH gained pace for a move above the $1,600 resistance zone, similar to bitcoin at $22,000.

The bulls even pushed the price above the $1,650 level and the price settled above the 100 hourly simple moving average. A new yearly high was formed near $1,679 and the price is now correcting gains. There was a minor move below the $1,650 level.

Ether price dipped below the 23.6% Fib retracement level of the upward move from the $1,480 swing low to $1,679 high. Besides, there was a break below a key bullish trend line with support near $1,630 on the hourly chart of ETH/USD.

The price is now trading above $1,600 and the 100 hourly simple moving average. An immediate resistance is near the $1,650 level and the broken trend line.

Source: ETHUSD on TradingView.com

The next major resistance is near the $1,680 level. An upside break above the $1,680 resistance zone could start a fresh increase. In the stated case, the price may perhaps rise towards the $1,720 resistance. Any more gains might send the price towards $1,788 or even $1,800 in the near term.

Dips Limited in ETH?

If ethereum fails to clear the $1,650 resistance, it could continue to move down. An initial support on the downside is near the $1,600 level.

The next major support is near the $1,580 level or the 50% Fib retracement level of the upward move from the $1,480 swing low to $1,679 high. If there is a move below $1,580, the price might test the $1,520 support. Any more losses might call for a test of the $1,480 zone.

Technical Indicators

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

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

Major Support Level – $1,580

Major Resistance Level – $1,650

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Filed under: Bitcoin - @ January 23, 2023 4:57 am