Ethereum price pared all gains and revised $1,580 against the US dollar. ETH could continue to decline if it breaks below the $1,600 support.
- Ethereum started a new decline below the USD 1,650 support.
- The price is trading below $1,665 and the 100-hourly Simple Moving Average.
- A major bearish trendline is forming with resistance near $1,645 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new rise if it overcomes the USD 1,650 and USD 1,665 resistance levels.
Ethereum price revisits support
Ethereum price failed to sustain above the USD 1,665 level and entered a bearish zone. ETH extended its decline below the $1,650 level, as did Bitcoin.
The drop was such that the price even spiked below $1,600 on Kraken. The price retested the key support at $1,585. A low was formed near USD 1,585 and the price is now trying to make a new increase. There was a move above the USD 1,620 level.
Ether climbed above the 23.6% Fib retracement level of the downward move from the $1,743 swing high to the $1,585 low. Ethereum is now trading below $1,665 and the 100-hourly Simple Moving Average.
On the upside, the price could encounter resistance near the USD 1,650 level. There is also a major bearish trendline forming with resistance near $1,645 on the hourly chart of ETH/USD. The next major resistance is $1,665 and the 100-hourly Simple Moving Average.
Source: ETHUSD on TradingView.com
The 50% Fib retracement level of the downward move from the $1,743 swing high to the $1,585 low is also close to the $1,665 level. A clear move above the $1,665 resistance zone could set the pace for another surge. In the mentioned case, the price could reach the resistance at USD 1,700. The next major resistance could be at USD 1,750. Any gains could open the doors for a move towards $1,820.
Lose more in ETH?
If Ethereum fails to clear the USD 1,665 resistance, it could continue falling. The initial downside support is near the $1,620 level. The next major support is at USD 1,600.
A downward break below the USD 1,600 support could trigger another strong bearish wave. In the mentioned case, the price could even trade below the USD 1,585 level. In the mentioned case, Ether could reach the $1,540 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 – $1,600
Major resistance level – $1,665
