Ethereum Price Analysis: ETH/USD Finds Support Above $300

How long will this increase continue? Keep reading below in order to find out. If you want to trade Ethereum (ETH) safely and securely on our partner exchange, follow this link to get set up on XCOEX. For our previous analysis, click here.

Ethereum Price: Trends and Highlights for July 10

• ETH/USD is trading inside an ascending channel.
• It is trading inside a longer-term ascending wedge.
• Moving averages give a neutral outlook.
• There is strong support near $280.
• There is resistance near $320.

ETH Price in an Ascending Channel

Since reaching the aforementioned low on July 2, ETH has been increasing, trading inside the ascending channel outlined below. The movement between the resistance and support lines has been gradual, both of them being touched four or more times. Once the Ethereum price reached values close to $320, which is also the 0.5 fib level of the entire downward move, it began to decrease. Where will it go next?

Ascending Wedge

A look at a longer-term time-frame shows that the Ethereum price has been trading inside an ascending wedge since late February 2019. Furthermore, we can see that there is a strong support area near $280. Once the ETH price reached this area on June 27 and July 2, it immediately bounced upward, creating long lower wicks in the process. The latter date is when the ascending wedge began. A look at the moving averages (MA) does not give a clear indication of where the price might go next. First, a bearish cross just occurred between the 10- and 20-day MAs. However, the ETH price immediately increased and is now trading above both MAs. This move has some similarities with the bearish cross that transpired on June 7. Similarly, the Ethereum price bounced back to find support above both MAs. However, before doing so, it initially decreased to touch the support line of the wedge.

Final Verdict

In order to figure out future Ethereum price movement, we will use the four-hour time-frame, combining both short- and long-term analysis. Firstly, we can see that there is a significant resistance area near $320. When the ETH price reached this area in the early hours of June 9, it was immediately pushed down — creating a long upper wick. The MAs, in a similar fashion to the daily chart, do not give a clear signal for future price movement. The Ethereum price is trading between the 10- and 20-period MAs, seemingly finding support above the latter. However, the 10-period MA is decreasing, possibly setting up a bearish cross.

Summary

The Ethereum price is trading inside a short-term ascending channel and a long-term ascending wedge. Technical indicators do not give a clear indication about future price movement. Therefore, it is more likely that the ETH price will continue to increase at the rate predicted by the channel. Rapid movements in the price of BTC could cause the same for ETH. Do you think the Ethereum price will increase or decrease? Let us know in the comments below.

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Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.  Images are courtesy of Shutterstock, TradingView.