TA: Ethereum Revisits $650, Why Dips Remain Attractive To Buyers
After forming a support base, Ethereum broke the main $595 and $600 resistance levels. More importantly, bitcoin price broke the $20,000 hurdle and surged higher. It resulted in a sharp increase in ETH price above the $620 resistance zone.
The bulls took over and there was a strong 10% upward move towards $650. There was also a break above a key contracting triangle with resistance near $625 on the hourly chart of ETH/USD. Ether price even spiked above $650 and settled well above the 100 hourly simple moving average.
A high is formed near $652 and the price is currently correcting lower. There was a break below the $645 and $640 levels. Ether tested the 50% Fib retracement level of the upward wave from the $616 swing low to $652 high.
If there are more downsides, the price might find a strong support at $630. It is close to the 61.8% Fib retracement level of the upward wave from the $616 swing low to $652 high. On the upside, the price is facing a major hurdle near the $650 level.
A successful close above the $650 level could spark another rally. The next key resistance is near $680, above which the price could test $700.
If ethereum continues to move down, the $635 and $630 levels are important zones. A downside break below the $630 level might call for a test of the $620 support level.
The main uptrend support is now forming near the $600 level (the recent breakout zone). Any more losses may possibly change the trend line the short term for a test of $565.
Read more here (https://www.newsbtc.com/analysis/eth/ta-ethereum-revisits-650-why-dips-remain-attractive-to-buyers/)