Key Highlights
- ETH price declined further and followed a short-term bearish path below $445 against the US Dollar.
- There are two bearish trend lines forming with resistance at $428 and $442 on the hourly chart of ETH/USD (data feed via SimpleFX).
- The pair might correct towards $440-442 in the near term, but could face sellers.
Ethereum price declined sharply against the US Dollar and Bitcoin. ETH/USD moved towards the $410-400 levels and is currently correcting higher.
Ethereum Price Decline
There was no major recovery in ETH price above the $460 level against the US Dollar. The price came under renewed selling pressure and traded below the $430 and $425 support levels. It almost tested the $400 handle and traded as low as $408.80. At the moment, the price is correcting higher towards $430. It has moved above the 23.6% Fib retracement level of the last decline from the $460.54 high to $408.80.
On the upside, there are many resistances such as $440 and $460. There are also two bearish trend lines forming with resistance at $428 and $442 on the hourly chart of ETH/USD. The first trend line is near the 38.2% Fib retracement level of the last decline from the $460.54 high to $408.80. However, the most important resistance is around the $440 level and the second trend line. The 100 hourly simple moving average is also near $450 to act as a resistance.
An intermediate resistance is around the 50% Fib retracement level of the last decline from the $460.54 high to $408.80 at $435. Therefore, any major upsides are likely to be capped by the $440 level. On the downside, the recent low of $408 is a decent support. The most important support is near $400-395 where there can be strong bids.
Hourly MACD – The MACD is placed well in the bearish zone.
Hourly RSI – The RSI is moving higher towards the 40 level, but it is well below the 50 level.
Major Support Level – $408
Major Resistance Level – $440
Charts courtesy – SimpleFX
Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.
Source: newsBTC