Ethereum price extended losses below the $3,320 support level. ETH has tested the support level of $3,240 and is currently looking for a significant rise above the resistance level of $3,380.
- Ethereum extended losses and tested the $3,240 support area.
- The price is trading below $3,400 and the 100-hour simple moving average.
- The hourly chart of ETH/USD (data feed via Kraken) shows a major bearish trendline forming with resistance near $3,440.
- The pair could attempt a significant rally above the $3,380 and $3,400 resistance levels.
Ethereum price discovery support
Ethereum price has struggled to start a new rally above $3,500. ETH followed Bitcoin’s bearish path, with the price falling below the $3,350 level. The decline pushed the price below the $3,320 support zone.
The low was formed at $3,230 and the price is currently correcting losses. It rose slightly above the $3,300 and $3,320 levels. The price recently broke above the 23.6% Fib retracement level of the decline from the $3,517 swing high to the $3,230 low.
Ethereum is still trading below $3,450 and the 100-hour simple moving average. On the positive side, the price may face resistance near the $3,375 level or the 50% Fib retracement level of the recent decline from the $3,517 swing high to the $3,230 low.
The first major resistance is near the $3,450 level. Additionally, on the hourly chart of ETH/USD, there is a major bearish trend line forming with resistance near $3,440.
The main resistance level is $3,540. An upside reversal above the $3,540 resistance could push the price higher. The next major resistance level is $3,620, above which the price may gain traction and advance towards the $3,650 level. More gains ahead could lead Ether towards the $3,720 resistance zone.
Another decline in ETH?
If Ethereum fails to clear the $3,450 resistance, another decline could begin. Initial support on the downside is near $3,325. The first major support is near the $3,24 area.
A clear break below the $3,240 support could push the price towards $3,200. More losses could push the price towards the $3,120 level in the near term.
technical indicators
Hourly MACD – ETH/USD MACD is losing momentum in bearish territory.
RSI per hour – The RSI for ETH/USD is now above the 50 area.
Key Support Level – $3,240
Key Resistance Level – $3,450