Ethereum Daily Tech Analysis – Resistance Levels in Play – 18/09/19

Ethereum returns to $200 levels and eyes $220 as the crypto bulls return from an extended summer. Steering clear of sub-$210 levels is key early on.
Bob Mason
cryptocurrency Silver and gold Bitcoin,litecoin,ethereum on dollar banknote on golden table,Virtual Digital money on blockchain concept.financial business.crypto currency mining.

Key Highlights

  • Ethereum rallied by 5.24% on Tuesday. Following on from a 4.37% gain on Monday, Ethereum ended the day at $207.95.
  • An early morning intraday low $195.67 saw Ethereum steer clear of the first major support level at $190.70.
  • A late intraday high $215 saw Ethereum break through the first major resistance level at $202.02 and second major resistance level at $206.44.
  • The extended bearish trend, formed at late April 2018’s swing hi $828.97, remained firmly intact. The reversal from June’s current year high $364.49 back through the 23.6% FIB of $257 reaffirmed the extended bearish trend.

Ethereum Price Resistance

Ethereum rallied by 5.24% on Tuesday. Following on from a 4.37% rally on Monday, Ethereum ended the day at $207.95.

Relatively range-bound through the morning, Ethereum fell from a morning high $199.22 to an early morning intraday low $195.67.

Ethereum steered well clear of the first major support level at $190.70.

Finding support from the broader market through the 2nd half of the day, Ethereum rallied to a late intraday high $215.

Ethereum broke through the first major resistance level at $202.02 and second major resistance level at $206.44.

While easing back to sub-$210 levels late on, Ethereum managed to close out the day above the second major resistance level.

In spite of the bullish start to the week, the extended bearish trend, formed at late April 2018’s swing hi $828.97, remained firmly intact. A reversal from June’s current year high $364.49 back through the 23.6% FIB of $257 reaffirmed the extended bearish trend.

At the time of writing, Ethereum was up by 2.39% to $212.91. A bullish start to the day saw Ethereum rally from an early morning low $207.5 to a high $214.02 before easing back.

Ethereum left the major support and resistance levels untested in spite of the early moves.

For the day ahead

Ethereum would need to steer clear of sub-$210 levels to support another run at the first major resistance level at $216.74.

Continued support from the broader market would be needed, however, for Ethereum to break out from the morning high $214.02.

In the event of an extended rally through the day, Ethereum could visit $220 levels before any pullback. We would expect Ethereum to come up short of the second major resistance level at $225.54, however.

Failure to steer clear of sub-$210 levels could see Ethereum reverse the upside from the morning.

A fall through to $206 levels would bring sub-$200 levels into play before any recovery.

Barring a crypto meltdown, however, we would expect Ethereum to steer well clear of the first major support level at $197.41.

Looking at the Technical Indicators

Major Support Level: $197.41

Major Resistance Level: $216.74

23.6% FIB Retracement Level: $257

38.2% FIB Retracement Level: $367

62% FIB Retracement Level: $543

Please let us know what you think in the comments below.

Thanks, Bob

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