Ethereum rallied close to $495, but it failed to test $500 against the US Dollar. ETH price is currently correcting gains (similar to bitcoin) and showing bearish signs below $485.

• Ethereum is correcting lower and trading below the key $485 pivot level.
• The price is holding the main $470 support level and the 100 hourly simple moving average.
• There is a major bullish trend line forming with support near $474 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could decline sharply if there is a clear break below $474 and $470 in the near term.

Ethereum Price is Approaching Key Support

Ethereum rallied above the $480 and $485 resistance levels, but it failed to test the $500 barrier. ETH formed a high near the $495 level and it settled well above the 100 hourly simple moving average.

Recently, there was a sharp downside correction below the $485 pivot level. Ether price even broke the $480 support, but the bulls were able to protect the $470 support and the 100 hourly simple moving average. The recent low was formed near the $470 level and the recent high was near $482. The price is currently declining and trading below the $480 level. It is testing the $476 support or the 50% Fib retracement level of the recent wave from the $470 low to $482 high.

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The next major support is near the $474 level. There is also a major bullish trend line forming with support near $474 on the hourly chart of ETH/USD. The trend line coincides with the 61.8% Fib retracement level of the recent wave from the $470 low to $482 high. The main support is near the $470 level and the 100 hourly simple moving average. If there is a clear break below the trend line support, $470, and the 100 hourly SMA, the price could decline sharply towards the $455 level in the coming sessions.

Fresh Increase in ETH?

If ethereum stays above the trend line support or $470, it could attempt a fresh increase. An initial resistance on the upside is near the $482 high. The first major resistance is near the $485 level. A successful break above the $485 pivot level could open the doors for a fresh increase towards the $495 high or even $500. Technical Indicators

Hourly MACD – The MACD for ETH/USD is slowly losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now just below the 50 level.

Major Support Level – $470 Major Resistance Level – $485