Again, Ethereum has been trading around the resistance level at 1238 for the past week, going back to the 900 dollar range. This pullback was also a retrace on the Fibonacci 0.618. Is there a higer low being created here or are we going back to the 800 dollar range. We are going to check it out with you on the various timeframes.
The retrace took place on the local order block which formed between 950 and 1050 dollars with a wick on the trend line. The uptrend structure is still in place and looking at the indicators it looks like Ethereum will continue its upward trend.
The ema100 has served as a support in the retrace where the price went right back up and now the ema55 has just underneath it. The rsi has also touched the oversold area and is currently above the ema again and is about to cross the middle line bullish.
And also on the 1 hour graph Ethereum looks strong. For example, the supply zone is currently being tested and the ema55 starts turning towards the bulls again. The ema55 currently offers good support for the price. However, a wick to the ema200 would be nice to be able to grab a nice entry.
Most likely Ethereum will continue its way up the hill and we can expect resistance around 1238 dollars. As soon as the ATH is going to be broken at 1427 dollars, the road is open up and we can only focus on the extended Fibonacci levels, just like with the Bitcoin rate.
But the price can also go the other way and then the support levels will be as follows. First we will find support around 970 - 1000 dollar and if that doesn't hold up then we will have support below 818 dollar but I don't think we will see it again for a while.