Ethereum price tested the $2,400 zone and recouped some losses. ETH needs to clear the $2,550 resistance zone to make a decent upside in the near term.
- Ethereum entered a consolidation phase after a sharp decline to $2,400.
- The price is trading below $2,550 and the 100-hourly Simple Moving Average.
- A major bearish trendline is forming with resistance at $2,555 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a recovery wave if it overcomes the USD 2,555 and USD 2,600 resistance levels.
Ethereum Price Eyes Recovery
Ethereum price extended its decline below the USD 2,650 level. ETH even traded below the USD 2,550 and USD 2,500 support levels, like Bitcoin. Finally, the bulls appeared near the $2,400 zone.
A low was formed at $2,394 and the price recently started a small recovery wave. There was a move above the USD 2,450 and USD 2,480 levels. It broke the 23.6% Fib retracement level of the downwave from the $2,820 swing high to the $2,394 low.
Ethereum price is now trading below $2,550 and the 100-hourly Simple Moving Average. On the upside, the price seems to be facing hurdles around the USD 2,550 level. There is also a major bearish trendline forming with resistance at $2,555 on the hourly chart of ETH/USD.
The first major resistance is around the $2,600 level. It is near the 50% Fib retracement level of the downward wave from the $2,820 swing high to the $2,394 low. A close above the USD 2,600 level could send Ether towards the USD 2,665 resistance.
The next major resistance is near USD 2,720. An upside break above the USD 2,720 resistance could send the price higher towards the USD 2,820 resistance zone in the near term.
Another drop in ETH?
If Ethereum fails to clear the USD 2,555 resistance, it could trigger another decline. The initial downside support is near USD 2,480. The first major support is near the $2,450 zone.
A clear move below the USD 2,450 support could push the price towards USD 2,425 where the bulls could emerge. Any further losses could send the price towards the USD 2,320 support level in the near term. The next major support is at USD 2,250.
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 – $2,450
Major resistance level – $2,550