Ethereum price gained bearish momentum below $1,860 against the US Dollar. ETH is showing a lot of bearish signals and it could drop as low as USD 1,720.
- Ethereum is down more than 4% and it is trading well below USD 1,900.
- The price is trading below $1,840 and the 100-hour Simple Moving Average.
- There was a break below a contiguous bullish trendline with support near USD 1,900 on the ETH/USD hourly chart (data feed via Kraken).
- The pair could decline further towards the USD 1,720 and USD 1,700 levels.
Ethereum Price Drops Over 4%
Ethereum price failed to clear the $1,920 resistance. ETH started a sharp decline below the USD 1,900 and USD 1,880 levels to move into a bearish zone, similar to Bitcoin.
The bears were able to push the price below the key $1,840 support. In addition, there was a break below a contiguous bullish trendline with support near USD 1,900 on the ETH/USD hourly chart. The price is down more than 4% and it traded near the $1,775 support.
A low is formed near $1,777 and the price is now consolidating losses. It is slowly moving higher above the 23.6% Fib retracement level of the downward move from the $1,912 swing high to the $1,777 low.
Ether is now trading below $1,840 and the 100-hour Simple Moving Average. Immediate resistance is near the $1,840 zone. The next major resistance is near the $1,850 level or the 50% Fib retracement level of the downward move from the $1,912 swing high to the $1,777 low.
Source: ETHUSD at TradingView.com
A good move above the $1,840 and $1,850 resistance levels could send Ether to $1,900. The next resistance is near $1,920, above which Ethereum could rise to $1,965. More gains above the $1,965 resistance zone could push the price towards the $2,000 resistance.
Lose more in ETH?
If Ethereum fails to clear the $1,840 resistance, it could drop further. The first support on the downside is near the $1,775 level.
The next major support is near the $1,740 zone. If there is a break below the $1,740 support, the price could drop towards the $1,700 support. Any more losses might send the price to the $1,660 or even $1,640 level.
Technical indicators
MACD per hour – The MACD for ETH/USD is gaining strength in the bearish zone.
RSI per hour – The RSI for ETH/USD is below the 50 level.
Major Support Level – $1,775
Major resistance level – $1,850