After a momentarily downside correction, ETH found support near the $218 area against the USD, and started a fresh increase. Moreover, there was a sharp rally above the $225 and $230 resistance levels, and the price traded above the $230 swing high and the 100 hourly simple moving average.

During the uptrend, there was a break above a major contracting triangle with resistance near $223 on the ETH/USD hourly chart. The $240 resistance was broken and the ETH price traded close to the $250 area.

A new 2020 high was formed near $248 and the price is currently consolidating gains. An initial major support is close to the $242 level. It coincides with the 23.6% Fib retracement level of the recent rally from the $218 swing low to $248 high.

On the upside, the $248 and $250 levels are the first resistances for ETH bulls. A successful break above the $250 barrier could pave way for more upsides towards $265. The next major resistance above $265 is around the $300 level.

The bulls are likely to remain active above the $230 level even if there is any downside correction. The first major support is close to the $235 and $233 levels. Besides, the 50% Fib retracement level of the recent upward move from the $218 low to $248 high is at $233. Any further losses below this level may perhaps lead the price towards the $225 support area and the 100 hourly SMA.

The overall price action for ETH remains bullish above $230 and $240. Therefore, if the price surges above the $250 level, the next target for the bulls in the coming sessions could be $300.

Technical indicators for the ETH/USD pair also suggest that the hourly MACD is now strongly in the bearish zone. Its hourly RSI (Relative Strength Index) is currently correcting lower from the overbought zone. Major support level is at $233, whereas major resistance level is also at $250.

Featured Image Courtesy of Shutterstock