Ethereum price started a fresh decline from the $1,860 resistance against the US Dollar. ETH could move down below $1,730 if it stays below $1,800 for a long time.
- Ethereum started a downside correction below $1,800 and $1,780.
- The price is trading below $1,780 and the 100 hourly simple moving average.
- There was a break above a connecting bearish trend line with resistance near $1,760 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could extend its decline if it stays below $1,800 and $1,820 for a long time.
Ethereum Price Faces Hurdle
Ethereum price remained well below the $1,860 level. ETH reacted to the downside and traded below the $1,800 support zone. It even declined below $1,750 before the bulls appeared near $1,720.
A low was formed near $1,715 before the price started a fresh increase, similar to bitcoin. The price gained pace above the $1,730 and $1,750 resistance levels. There was a move above the 50% Fib retracement level of the downward move from the $1,858 swing high to $1,715 low.
Besides, there was a break above a connecting bearish trend line with resistance near $1,760 on the hourly chart of ETH/USD. Ether price is now trading near $1,770 and the 100 hourly simple moving average.
On the upside, the price is facing resistance near the $1,785 zone. The next major resistance is near the $1,800 zone. It is near the 61.8% Fib retracement level of the downward move from the $1,858 swing high to $1,715 low. A close above the $1,800 resistance zone might start a strong increase.
Source: ETHUSD on TradingView.com
The next aim for the bulls might be $1,860. Any more gains could set the pace for a test of the $2,000 resistance zone in the near term.
Fresh Decline in ETH?
If ethereum fails to clear the $1,800 resistance, it could start another decline. An initial support on the downside is near the $1,745 level.
The next major support is near the $1,730 zone or $1,715. If there is a break below $1,715, the price might gain bearish momentum and drop towards $1,650. Any more losses might call for a test of the $1,580 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,730
Major Resistance Level – $1,800
