Ethereum struggles at the pivotal 230.00 resistance level
|Cryptos have had a decent surge in the last few sessions but now Ethereum has met a resistance level that was used as significant support back in May and June earlier in the year. The 230.00 level was easily broken at first in May 2019 but when the price started to consolidate it emerged that the consolidation low would be an important level moving forward.
The more recent sell-off on 14th July ETH/USD pushed back below the level (230.00) and used it again as a resistance for the consolidation top. Now, as cryptocurrencies begin to push higher again there is some hesitation.
On the daily chart, we can see the ETH/USD price has pushed through the trendline originating at the high seen on 26th June. This is clearly a bullish signal and coupled with a new higher low being created on 28th July could mean a move back toward a higher level. It must be stressed that a higher high wave has to be formed for confirmation and that means a clear break and close above 236.58 which is the previous wave high.
If this is the case, the next resistance level is at 270.00 which has been used as a formidable support and resistance level in the past. Failing this is 230.00, which in fact does become too tough to break and we see a move lower, with the 200.00 psychological support zone is an obvious target. The fact is now, the price has printed above but can we get the all-important close.
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