Ethereum price struggled to break the USD 3,650 resistance. ETH started declining again and there is now a risk of more declines below the USD 3,420 support.
- Ethereum started a fresh decline below the USD 3,550 support zone.
- The price is trading below $3,540 and the 100-hourly Simple Moving Average.
- A crucial bearish trendline is forming with resistance near $3,550 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could extend losses if it remains below the USD 3,550 resistance zone.
Ethereum price battle continues
Ethereum price failed to initiate a recovery wave above the USD 3,550 and USD 3,580 resistance levels like Bitcoin. ETH remained in a bearish zone in the short term and extended losses below the $3,500 level.
The price fell below the USD 3,450 support level. A low was formed at $3,428 and the price is now consolidating losses. There was a small increase above the 23.6% Fib retracement level from the recent decline from the $3,655 swing high to the $3,428 low.
Ethereum is still trading below $3,550 and the 100-hourly Simple Moving Average. A crucial bearish trendline is also forming with resistance around $3,550 on the hourly chart of ETH/USD. If a new increase occurs, the price could face resistance near the $3,540 level and the 50% Fib retracement level from the recent decline from the $3,655 swing high to the $3,428 low.
The first major resistance is around the $3,550 level and the trendline. An upside break above the USD 3,550 resistance could push the price higher. The next major resistance is at USD 3,650, above which the price could gain strength and rise towards the USD 3,720 level.
A clear move above the $3,720 level could send Ether towards the $3,800 resistance. Even more gains could send Ether towards the USD 3,880 resistance zone.
More disadvantages of ETH?
If Ethereum fails to clear the USD 3,550 resistance, it could continue to decline. The initial downside support is near USD 3,420.
A clear move below the USD 3,420 support could push the price towards USD 3,350. Any further losses could send the price towards the USD 3,250 level in the near term.
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 zone.
Major support level – $3,420
Major resistance level – $3,550