Ethereum price started a downward correction below $1,665. ETH needs to overcome the USD 1,650 and USD 1,720 resistance levels to rise further.
- Ethereum started a downward correction below the $1,650 zone.
- The price is trading below $1,650 and the 100-hourly Simple Moving Average.
- A descending channel is forming with resistance at $1,640 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to decline if it remains below the $1,720 zone.
Ethereum price holds support
Ethereum’s price failed to stay above the $1,680 zone and continued its decline, just like Bitcoin. ETH price rose at a pace and fell below the USD 1,665 and USD 1,650 levels.
The price even tested the 50% Fib retracement level of the upward move from the $1,505 swing low to the $1,720 swing high. However, the bulls were active around the $1,610 level. Furthermore, a descending channel is forming at resistance at $1,640 on the hourly chart of ETH/USD.
Ethereum price is now trading below $1,650 and the 100-hourly Simple Moving Average. If the bulls continue to act above $1,610, the price could rise again.
Immediate resistance is seen around the $1,650 level. The first major resistance is near the $1,665 level. The next major resistance is around the $1,680 level. A clear move above the USD 1,680 resistance could send the price towards the USD 1,720 resistance. An upside break above the $1,720 region could lead to more gains in the coming days. In the mentioned case, Ether could rise towards the resistance zone of $1,780 or even $1,800 in the short term.
Disadvantage of continuation in ETH?
If Ethereum fails to clear the USD 1,650 resistance, it could trigger another decline. The initial downside support is near the $1,610 level. The first major support is near the $1,590 zone or the 61.8% Fib retracement level of the upward move from the $1,505 swing low to the $1,720 swing high.
A clear move below the USD 1,590 support could push the price towards the USD 1,550 support. Any further losses could send the price towards $1,520. The main support could be $1,500.
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 above the 50 zone.
Major support level – $1,610
Major resistance level – $1,665