Ethereum price started a new decline below the USD 2,550 support. ETH is struggling and could recover if it breaks the $2,500 resistance zone.
- Ethereum started a new decline from the USD 2,650 resistance zone.
- The price is trading below $2,500 and the 100-hourly Simple Moving Average.
- There was a break above a connecting bearish trendline with resistance at $2,450 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a recovery wave if it surpasses the USD 2,500 and USD 2,550 resistance levels.
Ethereum price takes a hit
Ethereum’s price struggled to stay above $2,550 and, like Bitcoin, started a new decline. ETH fell below the USD 2,520 and USD 2,500 levels.
It tested the $2,420 support zone. A low was formed at $2,411 and the price is now trying to recover. There was a move above the $2,450 resistance zone. The price climbed above the 23.6% Fib retracement level of the downward move from the $2,582 swing high to the $2,411 low.
Additionally, there was a break above a connecting bearish trendline with resistance at $2,450 on the hourly chart of ETH/USD. The Ethereum price is now trading below $2,500 and the 100-hourly Simple Moving Average.
On the upside, the price seems to be facing hurdles near the $2,500 level and the 50% Fib retracement level of the downward move from the $2,582 swing high to the $2,411 low. The first major resistance is around the $2,520 level. The main resistance is now forming around $2,550.
A clear move above the USD 2,550 resistance could send the price towards the USD 2,600 resistance. An upside break above the USD 2,600 resistance could fuel more gains in the coming sessions. In the mentioned case, Ether could rise towards the USD 2,650 resistance zone.
Another drop in ETH?
If Ethereum fails to clear the USD 2,500 resistance, it could trigger another decline. The initial downside support is near the $2,450 level. The first major support is near the $2,400 zone.
A clear move below the USD 2,400 support could push the price towards USD 2,350. 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 – $2,420
Major resistance level – $2,500
