Ethereum price started a new decline below $2.880. ETH is now trying to recover from $2,720, but the bulls may encounter resistance.
- Ethereum started a new decline below USD 2,880 and USD 2,800.
- The price is trading below $2,850 and the 100-hourly Simple Moving Average.
- A short-term bearish trendline is forming with resistance at $2,820 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to rise if it breaks above the $2,850 zone.
Ethereum price attempts recovery
The price of Ethereum did not stay above $2,950 and started a new decline, just like Bitcoin. The ETH price fell below $2,880 and entered a bearish zone. The bears even pushed the price below $2,800.
A low was formed at $2,718 and the price is now trying to recover. There was a move above the USD 2,750 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $3,052 swing high to the $2,718 low.
The Ethereum price is now trading below $2,850 and the 100-hourly Simple Moving Average. If another upward move occurs, the price may encounter resistance near the $2,820 level. A short-term bearish trendline is also forming with resistance at $2,820 on the hourly chart of ETH/USD.
The next major resistance is near the $2,880 level or the 50% Fib retracement level of the downward move from the $3,052 swing high to the $2,718 low. The first major resistance is around the $2,920 level. A clear move above the USD 2,920 resistance could send the price towards the USD 3,000 resistance. An upside break above the $3,000 region could lead to more gains in the coming days. In the mentioned case, Ether could rise towards the USD 3,050 resistance zone or even USD 3,150 in the short term.
Another drop in ETH?
If Ethereum fails to clear the USD 2,880 resistance, it could trigger another decline. The initial downside support is near the $2,760 level. The first major support is near the $2,740 zone.
A clear move below the USD 2,740 support could push the price towards the USD 2,720 support. Any further losses could send the price towards $2,650 in the near term. The next major support is at USD 2,550 and USD 2,500.
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 zone.
Major support level – $2,720
Major resistance level – $2,880