Ethereum price fell sharply below $1,800 and $1,700 against the US dollar. ETH could resume its decline and test the $1,500 support zone.
- Ethereum is gaining bearish momentum below the USD 1,750 and USD 1,800 resistance levels.
- The price is trading below $1,750 and the 100-hour Simple Moving Average.
- A major bearish trendline is forming with resistance near $1,750 on the ETH/USD hourly chart (data feed via Kraken).
- The pair could resume its decline and visit the $1,500 support in the near term.
Ethereum Price Dive
Ethereum price started a major drop after breaking through the $1,800 support zone. ETH gained bearish momentum after it traded below the USD 1,720 support, similar to Bitcoin.
The bears even pushed the price below the $1,600 level. Finally, it tested the $1,520 zone. A low is forming near USD 1,517 and the price is now attempting a recovery wave. There was a move above the $1,600 level. The price is now trading above the 50% Fib retracement level of the downward move from the $1,826 swing high to the $1,517 low.
Ether is now trading below $1,750 and the 100-hour Simple Moving Average. A major bearish trendline is also forming with resistance near $1,750 on the ETH/USD hourly chart.
On the upside, the price may encounter resistance near the $1,700 level. It is close to the 61.8% Fib retracement level of the downward move from the $1,826 swing high to the $1,517 low. The next resistance is near $1,750 or the trendline.
Source: ETHUSD at TradingView.com
A close above the $1,750 level could spark quite a rise in the near term. The next major resistance is near the $1,800 level and the 100-hour Simple Moving Average. More gains could send the price towards the $1,820 resistance, above which the price could rise towards the $1,880 zone.
New Decline in ETH?
If Ethereum fails to clear the $1,750 resistance, it could drop further. The first support on the downside is near the $1,620 level.
The first major support is near the $1,550 zone. If the bulls fail to protect the $1,550 support, there could be more losses. The next major support is near the $1,520 support level. Any more losses could send the price towards the $1,500 level in the near term.
Technical indicators
MACD per hour – The MACD for ETH/USD is losing momentum in the bearish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,620
Major resistance level – $1,750
