Upward Trendline Supports Ethereum at $1,860
The ETH/USD closed at $2,013.98 after placing a high of $2,044.74 and a low of $1,939.16. ETH/USD soared dramatically on Thursday and crossed over the $2000 mark after continuously trading bearish. It consolidated in a narrow trading range almost for more than 2-weeks.
The price of Ethereum soared following Tesla, and SpaceX CEO Elon Musk announced he holds the cryptocurrency at The B Word conference, a contest hosted by the Crypto Council for Innovation.
Ethereum, which was previously surging on the day, reached its highest point during the session after Musk’s specifying. The ETH/USD pair surged over 12% and was around the highest levels of the day.
Elon Musk also reiterated his backing for cryptocurrency in general, despite possible environmental risks, stating, “One thing you do need to watch out for with crypto, especially bitcoin, using proof of work, using energy that’s a bit too much and not necessarily good for the environment.” Ethereum gained support after Elon Mush said the bitcoin mining is powered mainly by renewable energy, and Tesla will likely move to allow bitcoin for businesses once again.
The U.S. Dollar Index that estimates the greenback worth versus the basket of six major currencies slipped and touched 92.76 level, appending additional gains in Ethereum prices. Both of these currencies share a negative correlation. The bearishness in the greenback could be credited to the sunk risk-off market bias and eased down concerns of coronavirus radiated across the market.
ETH/USD Intraday Technical Levels
Pivot Point: 1999.49
ETH/USD – Technical Outlook
The second most traded cryptocurrency, ETH/USD, is trading with a solid bullish bias at the 2,055 level. It’s gaining immediate support at 2,045 level that’s being extended by a double top pattern that has already been violated during the Asian session. Now, this double top resistance level is working as a support for Ethereum.
On the 4-hour timeframe, Ethereum’s MACD and 50 EMA indicators are supporting buying trend. Therefore, Ethereum’s next resistance stays at 2,170 level. Bullish crossover of this level exposes the ETH/USD price towards 2,285 and 2,385 levels. At the same time, the support remains at 2,045 and 1,947 levels. All the best!