Ethereum price extended losses and tested the USD 2,300 support. ETH is now attempting a recovery wave above the USD 2,340 level and could test USD 2,390.
- Ethereum started a fresh decline below the USD 2,420 and USD 2,400 levels.
- The price is trading below $2,400 and the 100-hourly Simple Moving Average.
- There was a break above a connecting bearish trendline with resistance near $2,340 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair will attempt a fresh rise as it reaches the USD 2,390 and USD 2,400 levels.
Ethereum price reaches $2,300 again
Ethereum price struggled to initiate a fresh rise above the USD 2,550 and USD 2,580 resistance levels. ETH started another decline and, like Bitcoin, traded below the $2,400 support.
There was a move below the USD 2,350 level. A new weekly low was formed near $2,302 and the price is now consolidating losses. There was a small increase above the USD 2,330 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $2,479 swing high to the $2,302 low.
There was also a break above a connecting bearish trendline with resistance around $2,340 on the hourly chart of ETH/USD. Ethereum is now trading below $2,400 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance around the $2,365 level.
The next hurdle could be $2,390 or the 50% Fib retracement level of the downward move from the $2,479 swing high to the $2,302 low. The next major resistance is now near USD 2,400. A clear move above the USD 2,400 level could trigger a significant increase. In the mentioned case, the price could rise towards the USD 2,480 level.
Source: ETHUSD on TradingView.com
The next major hurdle is near the $2,500 zone. A close above the USD 2,500 resistance could trigger another steady rise. In the said case, Ether price could rise towards the $2,650 zone.
Another drop in ETH?
If Ethereum fails to clear the USD 2,390 resistance, it could trigger another decline. The initial downside support is near the $2,320 level.
The next major support could be the $2,300 zone. A downside break below the USD 2,300 support could push the price further down. In the said case, Ether could test the USD 2,250 support. Any further losses could send the price towards the USD 2,200 level.
Technical indicators
hourly MACD – 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 – $2,300
Major resistance level – $2,390
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