Ethereum’s price started a major decline after it failed to clear $2,500. ETH has fallen 20% and is now struggling to stay above the USD 2,200 support.
- Ethereum failed to stay above $2,550 and started a new decline.
- The price is trading below $2,400 and the 100-hourly Simple Moving Average.
- A major bearish trendline is forming with resistance at $2,415 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new rise if it remains above the $2,200 zone.
Ethereum Price Drops 20%
The price of Ethereum did not remain stable above $2,550 and, like Bitcoin, started a major decline. ETH price traded below $2,400 and entered a bearish zone.
The bears even pushed the price below $2,250. A low was formed at $2,220 and the price is now showing bearish signs below the 23.6% Fib retracement level from the recent decline from the $3,040 swing high to the $2,220 low. There is also a steep bearish trendline forming with resistance at $2,415 on the hourly chart of ETH/USD.
The Ethereum price is now trading below $2,350 and the 100-hourly Simple Moving Average. If the bulls continue to act above USD 2,200, the price may try to rise again. Immediate resistance is seen around the $2,350 level. The first major resistance is near the $2,420 level and trendline.
The next major resistance is around the $2,500 level. A clear move above the $2,500 resistance could send the price towards the $2,620 resistance, or towards the 50% Fib retracement level of the recent decline from the $3,040 swing high to the $2,220 low. An upside break above the $2,620 region could lead to more gains in the coming days. In the mentioned case, Ether could rise towards the USD 2,800 or even USD 2,880 resistance zone in the short term.
Lose more in ETH?
If Ethereum fails to clear the USD 2,420 resistance, it could trigger another decline. The initial downside support is near the $2,220 level. The first major support is near the $2,200 zone.
A clear move below the USD 2,200 support could push the price towards the USD 2,120 support. Any further losses could send the price towards $2,050. The main support could be $2,000.
Technical indicators
hourly MACD – The MACD for ETH/USD is gaining strength in the bearish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $2,200
Major resistance level – $2,420