Ethereum Overcame Odds With New High, Here’s Why ETH Could Test $4.5K

Ethereum started a fresh increase and it traded to a new all-time high above $4,250 against the US Dollar. ETH price is now showing signs of more upsides towards $4,500.

Ethereum found support near $3,700 and it surged to a new all-time high near $4,280.
The price is trading well above $4,200 and the 100 hourly simple moving average.
There was a break above a major contracting triangle with resistance near $4,045 on the hourly chart of ETH/USD (data feed via Kraken).
The pair is likely to continue higher towards the $4,350 and $4,500 levels.

Ethereum Price Resumes Rally
After a sharp decline, ethereum found support above the $3,600 zone. ETH formed a base above the $3,700 level and it started a fresh increase. There was a clear break above the $4,000 resistance level.
There was also a break above a major contracting triangle with resistance near $4,045 on the hourly chart of ETH/USD. The bulls were able to clear the 76.4% Fib retracement level of the key decline from the $4,215 swing high to $3,500 swing low.
Ether is now trading well above $4,200 and the 100 hourly simple moving average. It cleared the last swing high and traded to a new all-time high near $4,280. The current price action suggests high chances of more gains above the $4,300 level.

Source: ETHUSD on TradingView.com
The first major resistance is near the $4,380 level. It is near the 1.236 Fib extension level of the key decline from the $4,215 swing high to $3,500 swing low.
A clear break above the $4,380 level could set the pace for a larger increase. The next target for the bulls may possibly be near the $4,500 level.
Dips Limited in ETH?
If Ethereum fails to continue higher towards $4,380, it could start another downside correction. An initial support on the downside is near the $4,210 level (the recent breakout zone).
The first key support is near the $4,150 level. The main support is now forming near the $4,000 level. If there is a downside break below the $4,000 zone, the price could decline towards the $3,700 support.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now well above the 60 level.
Major Support Level – $4,150
Major Resistance Level – $4,380

Jimmy Steele

I’m known as one of the best Crypto Authors in the market. My work has been featured in numerous publications, including The Wall Street Journal, Forbes, and Barron’s. I’m a regular contributor to CoinDesk and have been a guest on CNBC, Fox Business, and Bloomberg TV.