Ethereum price began a new decline below the $2,550 support level. ETH is struggling and could recover once it breaks out of the $2,500 resistance area.
- Ethereum began a new downtrend at the $2,650 resistance zone.
- The price is trading below $2,500 and the 100-hour simple moving average.
- On the hourly chart of ETH/USD (data feed via Kraken), a breakout occurred above a bearish trend line connecting with resistance at $2,450.
- A break above the $2,500 and $2,550 resistance levels could trigger a recovery for the pair.
Ethereum price takes a hit
Ethereum price struggled to stay above $2,550 and began a new Bitcoin-like downward trend. ETH fell below the $2,520 and $2,500 levels.
The $2,420 support zone was tested. The low was made at $2,411 and the price is currently trying to recover. There was a move above the $2,450 resistance zone. The price moved above the 23.6% Fib retracement level, moving down from the $2,582 swing high to the $2,411 low.
Moreover, on the hourly chart of ETH/USD, the bearish trend line connecting the resistance level of $2,450 was broken. Ethereum price is currently trading below $2,500 and the 100-hour simple moving average.
On the upside, the price appears to be facing a hurdle near the $2,500 level and near the 50% Fib retracement level with a downward move from the $2,582 swing high to the $2,411 low. The first major resistance is near the $2,520 level. Major resistance is currently forming near $2,550.
A clear break above the $2,550 resistance level could push the price towards the $2,600 resistance level. An uptick above the $2,600 resistance could lead to further gains in the coming sessions. If indicated, Ethereum could rise towards the $2,650 resistance zone.
Another decline in ETH?
If Ethereum fails to clear the $2,500 resistance, another decline could begin. Initial support for the downside is near the $2,450 level. The first major support is near the $2,400 area.
A clear break below the $2,400 support could push the price towards $2,350. More losses could push the price towards the $2,320 support level in the near term. The next major support level is $2,250.
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 zone.
Key Support Level – $2,420
Key Resistance Level – $2,500