Ethereum (ETH), the largest cryptocurrency by market capitalization, embarked on a fresh increase above $1300 against the USD a few hours ago. The price of the digital currency is currently showcasing positive signs, and there is a possibility for a continued upside trend towards $1,400 and $1,500.
Ethereum (ETH) Is Showcasing Bullish Signs
In the past week, Bitcoin (BTC) and Ethereum (ETH) experienced a huge price drop below $1,200 and $33,000 respectively against the USD. This downside trend even sent the price of ETH further below $1,100, but maintained its stability above $1,000, while BTC dipped below the $30,000 price level.
A low was formed near $1,042 before the price embarked on a fresh increase. There was a strong close above $1,200 and the 100 simple moving average (4-hours).
There was also a break above the 50% Fib retracement level of the downward move from the $1,440 swing high to $1,042 low. There was a break above a major bearish trend line with resistance near $1,265 on the 4-hours chart of ETH/USD.
At the time of publishing, ETH is priced at $1,340.37. It is close to the 76.4% Fib retracement level of the downward move from the $1,440 swing high to $1,042 low.
A clear break above the $1,345 level could open the doors for a fresh increase above the $1,400 resistance level. In the stated case, the price could keep rising towards the $1,500 level. The next major resistance sits near the $1,530 level.
Dips Supported in Ethereum (ETH)?
If Ethereum (ETH) fails to clear the $1,345 and $1,380 resistance levels, it could start a downside correction. The first key support on the downside is near the $1,240 level.
The main support is forming near the $1,180 level and the 100 simple moving average (4-hours). Continued losses could lead ETH price towards the $1,080 support zone.