Ethereum price started a downward correction from the high of $1,866 against the US dollar. ETH needs to stay above the USD 1,750 support to start a new increase.
- Ethereum failed to gain strength above $1,850 and corrected lower.
- The price is trading above USD 1,750 and the 100-hourly Simple Moving Average.
- There was a break below a key bullish trendline with support near $1,810 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue its decline if it fails to hold above the $1,750 support.
Ethereum Price Signals Downside Correction
Ethereum attempted another surge above the $1,820 level. ETH even managed to overcome the USD 1,850 resistance, but the upside was limited. The price traded as high as $1,866 and recently started a downward correction just like Bitcoin.
There was a move below the USD 1,810 and USD 1,800 levels. Additionally, there was a break below a key bullish trendline with support near $1,810 on the hourly chart of ETH/USD. The pair traded close to the $1,750 support before the bulls emerged.
A low is formed near USD 1,763 and the price is now consolidating. It is trading near the 23.6% Fib retracement level of the downward correction from the $1,866 swing high to the $1,763 low.
Ethereum is now trading above $1,750 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance around the $1,815 level. It is close to the 50% Fib retracement level of the downward correction from the $1,866 swing high to the $1,763 low.
Source: ETHUSD on TradingView.com
The first major resistance is near the $1,850 zone. A close above the $1,850 resistance could trigger a significant upside. In the mentioned case, Ether could surpass USD 1,865 and test USD 1,920. The next major resistance is near USD 1,950, above which the price could accelerate higher. In the said case, the price could rise to the $2,000 level.
Lose more in ETH?
If Ethereum fails to clear the USD 1,815 resistance, it could trigger another decline. The initial downside support is near the $1,765 level.
The next major support is $1,750 and the 100-hour Simple Moving Average. A downside break below the USD 1,750 support could push the price further down. In the mentioned case, Ether could drop to the $1,700 level.
Technical indicators
hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major support level – $1,750
Major resistance level – $1,815
