Ethereum price extended its decline and tested the $3,700 support. ETH is currently consolidating and targeting a fresh increase above $3,840.
- Ethereum extended its downtrend and tested the $3,700 area.
- The price is trading near $3,800 and the 100-hour simple moving average.
- The hourly chart of ETH/USD (data feed via Kraken) shows a major bullish trend line forming with support near $3,760.
- Unless the pair closes below the $3,700 support, it could start a new increase.
Ethereum price maintains support
Ethereum price struggled to start a new rally and, like Bitcoin, fell below the $3,750 support zone. ETH also traded below the $3,720 support zone. However, the bulls remained active near the $3,700 support zone.
The lowest point was made at $3,702, and the price has recently begun to show signs of recovery. There was a move above the $3,750 level. The price broke above the 23.6% Fib retracement level moving down from the $3,957 swing high to the $3,702 low.
Ethereum price is currently trading near $3,800 and the 100-hour simple moving average. Additionally, on the hourly chart of ETH/USD, there is a major bullish trend line forming with support near $3,760.
If there is a fresh increase, ETH may face resistance near the $3,830 level. The first major resistance is near the $3,880 level or the 76.4% Fib retracement level for a downside move from the $3,957 swing high to the $3,702 low.
An upside reversal above the $3,880 resistance could push the price higher. The next major resistance level is $3,950, above which the price may gain traction towards the $4,000 level.
If bulls push Ethereum above the $4,000 level, the price could move higher and test the $4,080 resistance. Further gains could lead Ether towards the $4,220 resistance zone.
Another decline in ETH?
If Ethereum fails to clear the $3,830 resistance, it could begin another downtrend. Initial support for the downside is near the $3,750 level and trendline.
The next major support level is near $3,720. A clear break below the $3,720 support could push the price towards $3,660. More losses could push the price towards the $3,550 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 – $3,720
Key Resistance Level – $3,880