Ethereum Price Weekly Analysis – ETH/USD Eyeing Break above $400

Ethereum price correction was a good thing against the US Dollar and Bitcoin, and now ETH/USD is back in the bullish zone for a break above $400.

Key Highlights
ETH price corrected lower this past week towards $255 against the US Dollar, but later it recovered very well.
There is a crucial bullish trend line with support at $310 forming on the 4-hours chart of ETH/USD (data feed via SimpleFX).
It looks like the price is about to retest $390 and may even attempt a break above $400.
Ethereum price correction was a good thing against the US Dollar and Bitcoin, and now ETH/USD is back in the bullish zone for a break above $400.

Ethereum Price Slowly Grinding Higher

In the last weekly analysis, we discussed the possibility of ETH price moving past the $350 level against the US Dollar. It did remain in the bullish zone and moved above $350, but later started a correction. A high was formed at $404 from where a correction phase was initiated. The price moved down sharply and traded lower by roughly $150. It traded below $300 to trade as low as $256 where buyers appeared.

A strong buying interest protected further declines below $256. There was also no close below the 100 simple moving average at $280. Moreover, a crucial bullish trend line with support at $310 on the 4-hours chart of ETH/USD acted as a support. It acted as a barrier, and as a result, the price moved back above $300. Buyers were successful in taking the price back above the 50% Fib retracement level of the last decline from the $404 high to $256 low.

At the moment, the price is slowly and steadily moving higher with supports as $345 and $310. A break above the 76.4% Fib retracement level of the last decline from the $404 high to $256 low is needed for ETH to retest $400. If buyers remain in control, there is a chance of a break above $400 as well.

4-hours MACD – The MACD is back in the bullish zone.

4-hours RSI – The RSI is heading higher and currently above 50.

Major Support Level – $345.00

Major Resistance Level – $400.00