Ethereum declined significantly below the $1,750 support level against the US Dollar. ETH is showing bearish signs and remains at risk for further losses below $1,550.
- Ethereum started a fresh decline and traded below the $1,600 level.
- The price is now trading below $1,650 and the 100 hourly simple moving average.
- There was a break above a connecting bearish trend line with resistance near $1,580 on the hourly chart of ETH/USD (data feed via Kraken).
- If it stays below the $1,700 resistance area, the pair may continue to move down.
Ethereum price turns bearish
Ethereum started a major decline below the $1,700 level. ETH traded below the $1,650 support area to move further into the bearish zone.
This opened the doors for a move below the $1,600 level. Finally, the price traded as low as $1,524 before the bulls appeared. It started an upside correction and traded above the $1,580 level. There was a break above a connecting bearish trend line with resistance near $1,580 on the hourly chart of ETH/USD.
Ether price climbed above the 23.6% Fib retracement level of the key decline from the $1,878 high to $1,524 low. However, the bears were active near the $1,650 area.
The price is now trading below $1,650 and the 100 hourly simple moving average. An immediate upside resistance is near the $1,625 level. The first major resistance is now forming near the $1,650 level. The next major resistance is near the $1,700 level and the 100 hourly simple moving average.
Source: ETHUSD on TradingView.com
The 50% Fib retracement level of the upward move from the $1,878 high to $1,524 low is also near the $1,700 level. A clear move above the $1,700 resistance could also push the price above the $1,750 resistance area.
More losses in ETH?
If Ethereum fails to rise above the $1,700 resistance, it could continue to decline. An initial support on the downside is near the $1,550 area.
The next major support is near the $1,525 level, below which Ether price could decline. In the specified case, the price could decline towards the $1,465 level. Any further losses could potentially open the door for a move towards the $1,420 level.
technical indicators
hourly macd , The MACD for ETH/USD is now gaining momentum in the bearish zone.
hourly rsi , The RSI for ETH/USD is now below the 50 level.
Key Support Level – $1,525
Key Resistance Level – $1,650