A Key Bottom Is Forming For Ethereum and A Swift Rally Could Occur

Ethereum is trading below the key $235 resistance area against the US Dollar. ETH price seems to be forming a strong support above $220 and it could soon rally above $235. Ethereum is likely forming a bottoming pattern above the $220 level against the US Dollar. The price could gain bullish momentum once there is a clear break above the $235 resistance. There is a major bullish trend line in place with support near $225 on the hourly chart of ETH/USD (data feed via Kraken). Bitcoin price is trading above the $9,000 level and it may soon start another increase. Ethereum Price Likely Forming Bottoming Pattern In the past two days, Ethereum remained well bid above the $220 support level against the US Dollar. ETH price settled above the $225 level and the 100 hourly simple moving average. On the upside, the $235 resistance area is acting as a strong barrier for the bulls. There were more than two attempts already to clear the $235 barrier, but the bulls struggled to gain momentum. The recent high was near $235 and the price corrected below the $232 level. Ethereum is currently holding the $228 support level and the 100 hourly simple moving average. The 50% Fib retracement level of the upward move from the $220 low to $234 high is also acting as a decent support. Moreover, there is a major bullish trend line in place with support near $225 on the hourly chart of ETH/USD. The trend line is close to the 61.8% Fib retracement level of the upward move from the $220 low to $234 high. Ethereum Price On the upside, the price is facing a strong barrier near the $235 level. A successful break above the $235 resistance area could open the doors for a larger rally. The next major resistance is near the $245 and $250 levels. Here Are Major Buy Zones If Ethereum struggles to clear the $235 resistance area, there is a risk of a short term downside correction. The first key support is near the 100 hourly simple moving average and the trend line support at $225. The main range support is still near the $220 level, below which the bears are likely to aim a larger decline below the $218 and $215 levels. The next major support is near $212, where the bulls are likely to appear. Technical Indicators Hourly MACD – The MACD for ETH/USD is about to move back into the bullish zone. Hourly RSI – The RSI for ETH/USD is currently rising and it is above the 50 level. Major Support Level – $225 Major Resistance Level – $235

from NewsBTC https://www.newsbtc.com/2020/03/06/ethereum-swift-rally-could-occur/

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