Ethereum price started a downside correction against the US Dollar and Bitcoin, and now ETH/USD is consolidating below the $300 handle.
Ethereum Price Support
Yesterday, we saw a new monthly high near $313.62 in ETH price against the US Dollar. Later, the price started a downside move and traded below the $310 and $300 levels. There was even a break below the 23.6% Fib retracement level of the last wave from the $265.50 low to $313.62 high. The price declined towards $270 and traded as low as $277.41 where it found support.
During the downside move, there was a break below a bullish trend line with current support at $290 on the hourly chart of ETH/USD. It seems like it was a false break below the $285 level. The pair is currently back above the bullish trend line, but struggling to move above the $300 level. It recently traded close to the 61.8% Fib retracement level of the last decline from the $313.62 high to $277.41.
However, a connecting bearish trend line prevented gains above $300. The price is moving back lower and may retest the bullish trend line at $290. It must hold the trend line support and $290, it ETH/USD has to resume its upside move in the near term. A close below $290 would call for a retest of the last low of $277.
Hourly MACD – The MACD has reduced all of its bullish slope.
Hourly RSI – The RSI is currently just above the 50 level.
Major Support Level – $290
Major Resistance Level – $300