December 20, 2018 4:17 PM
Ether’s price extended gains and traded to new weekly highs against the US dollar and bitcoin. ETH/USD remains supported near $105.00 and could trade toward $115.00 and $125.00.
Ether’s price rallied further and traded to a new weekly high at $112.24 against the US dollar.
A major bullish trendline formed with support near $105.00 on the 2-hour chart of ETH/USD.
ETH/BTC tested the 0.0280BTC resistance area and later corrected lower.
Technically, the 12-hour chart indicators are about to move into the bullish territory.
Ether Price Analysis
Yesterday, we discussed that dips in ETH/USD remain attractive to buyers above $100.00. The pair corrected a few points from the $109.26 high, but it found support and bounced back above $110.00.
ETH/BTC also extended gains and traded above the 0.0280BTC resistance. However, it failed to retain strength and later corrected lower below 0.0275BTC and 0.0270BTC. The next support is at 0.0265BTC, where buyers are likely to appear.
Starting with the 12-hour chart of ETH/USD, the pair successfully settled above the key $100.00 resistance, a crucial bearish trendline, and the 23.6 Fibonacci retracement level of the drop from $182.06 (November 19, 2018 swing high) to $82.12 low.
The current price action is very positive and it seems like the next major hurdle for buyers is near the $125.00 level, above which the price could test the 50 Fibonacci retracement level of the drop from $182.06 to the $82.12 low, near $132.00.
Dropping down to the 2-hour chart, there is a solid uptrend in place from the $82.12 low. Ether recently traded to a new weekly high at $112.24 and is currently consolidating gains.
An initial support is at $108.00, followed by a major bullish trendline formed with support near $105.00. Therefore, a downside correction toward $105.00 is likely to find a strong buying interest.
To sum up, there are lot of positive signs visible on both charts and a sustained move beyond the $115.00 level will most likely push Ether toward the $125.00 resistance. On the flip side, $108.00 now becomes the immediate support to defend, which if broken might drag ETH/USD back toward testing the $105.00 support.
The MACD is slowly moving into the bullish zone.
The RSI is currently near the 50 level.
Important Support Levels
$108.00 and $105.00
Important Resistance Levels
$112.00 and $115.00
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis. He strives to provide entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession and loves blogging.
ETHNews is commited to its Editorial Policy
Like what you read? Follow us on Twitter @ETHNews_ to receive the latest Ether Price, Ether and Ethereum Analysis News.
The content on ETHNews.com is provided for informational purposes only and it is not intended to be, and does not, constitute financial advice or any other advice. You should not rely on any ETHNews.com content to make an investment decision. ETHNews.com is not responsible for any investment decision made by you. You are responsible for your own investment research and investment decisions.