Ethereum is trading in a positive zone above $240 and $242 against the US Dollar. ETH is likely to climb above the $250 resistance, which might start a strong uptrend.

• Ethereum is rising and it remained well bid above the $240 support level.
• The price is now approaching the main $250 resistance and trading above the 100 hourly simple moving average.
• There is a key bullish trend line forming with support near $244 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair is likely to accelerate higher once there is a daily close above the $250 resistance.

Ethereum Price Eyeing Crucial Upside Break

In the past few sessions, there was a steady rise above $240 in Ethereum against the US Dollar. ETH price tested the $245 level yesterday before starting a downside correction.

The price corrected a few points, but it remained stable above the $240 level and the 100 hourly simple moving average. A fresh support base was formed and the price started a fresh increase above $240.

More importantly, there was a break above a bullish flag pattern with resistance near $244 on the hourly chart of ETH/USD. It opened the doors for more gains and the price climbed higher above $246. It again tested the $248-$250 resistance zone.

A high is formed near $249 and the price is currently consolidating gains. An initial support is near the $247 level. It is close to the 23.6% Fib retracement level of the recent wave from the $242 swing low to $249 high.

Ethereum price tests $250: Source: TradingView.com

There is also a key bullish trend line forming with support near $244 on the same chart. The trend line coincides with the 50% Fib retracement level of the recent wave from the $242 swing low to $249 high.

On the upside, ether price seems to be eyeing a crucial upside break above the $250 level. It seems like the price is likely to accelerate higher once there is a daily close above the $250 resistance.

Dips Likely to be Limited in ETH

On the downside, the $244 level is a strong support zone. If Ethereum fails to stay above $244, there could be an extended decline in the near term.

The next key support could be $240, below which the price is likely to test the 100 hourly simple moving average in the coming sessions.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now gaining pace in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now well above the 60 level, with a positive bias.

Major Support Level – $244

Major Resistance Level – $250

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