Ethereum price is taking gains from the $2,320 resistance zone. ETH is trending lower and may test $2,050 before the bulls take a stance.
- Ethereum is consolidating gains below the $2,250 support zone.
- The price is trading below $2,240 and the 100-hour simple moving average.
- The hourly chart of ETH/USD (data feed via Kraken) shows two bearish trend lines forming, with resistance near $2,230 and $2,260.
- The decline could extend and revisit the $2,050 support zone.
Losses widen due to Ethereum price
Ethereum price began a downward correction at the $2,325 level. ETH fell below the $2,300 and $2,265 levels. A downtrend could even push the pair below the $2,200 level, like Bitcoin.
A low was made around $2,180 and the price is currently attempting a new rise. There was a move above the $2,200 level. The price broke above the 23.6% Fib retracement level moving down from the $2,326 swing high to the $2,180 low.
Ethereum is currently trading below $2,240 and the 100-hour simple moving average. On the other hand, the price is finding resistance near $2,230. The hourly chart of ETH/USD shows two bearish trend lines with resistance near $2,230 and $2,260.
The second trendline is close to the 50% Fib retracement level moving down from the $2,326 swing high to the $2,180 low. If the price closes above the $2,260 resistance, the price may head towards $2,325.
Source: ETHUSD on TradingView.com
The main resistance level is $2,350. A clear break above the $2,350 area could initiate a significant rally. The next resistance level is $2,420, above which Ethereum could test the $2,500 area.
Are there any more disadvantages of ETH?
If Ethereum fails to clear the $2,260 resistance, a new downtrend could begin. Initial support for the downside is near the $2,200 level.
The first major support could be the $2,180 zone. A break below and a close below $2,180 could trigger more bearish moves. As stated, Ether could revisit the $2,120 support. Any more losses could push the price down to the $2,050 level.
technical indicators
Hourly MACD – ETH/USD MACD is losing momentum in bearish territory.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Key Support Level – $2,180
Key Resistance Level – $2,260
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