Ethereum Close Below $1K Could Spark Larger Degree Downtrend


Ethereum is struggling below $1,080 against the US dollar. ETH could drop significantly if there is a close below the $1,000 support area.

  • Ethereum remains in a bearish zone below $1,100 and $1,080.
  • The price is now trading below $1,100 and the 100 hourly simple moving average.
  • There is a major bullish trend line forming with support near $1050 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could drop again unless there is a clear move above the $1,120 resistance area.

Ethereum price still at risk

Ethereum remains in descending zone And retest the $1,000 support area. ETH formed a base near $1,000 and recently corrected higher.

There was a slight recovery wave above the $1030 and $1050 levels. Ether price rose above the 23.6% Fib retracement level of the major decline from the $1,236 swing high to $997 low. It even attempted a bullish breakout above the $1,100 level but failed.

They are now trading for less than $1100 and Simple moving average per 100 hours. There is also a major bullish trend line forming with support near $1050 on the hourly chart of ETH/USD.

There is an immediate resistance on the upside near the $1060 level. The next major resistance is near the $1,080 area. The first major obstacle is near the $1,100 area or the 50% Fib retracement level of the major decline from the high-swinging $1,236 to the $997 low. A close above the $1120 resistance area could lead to a decent increase.

Ethereum price

Source: ETHUSD on TradingView.com

In the mentioned case, the price may rise towards the $1180 resistance. Any further gains could send the price towards the high of $1,236.

More losses in ETH?

If Ethereum fails to rise above the resistance at $1,080, it may continue to decline. Initial support on the downside is near the $1050 area or trend line.

The next major support is near the $1,000 area. A close below the $1,000 level could trigger a sharp decline. In the mentioned scenario, the price of Ether might drop towards the $925 level. Any further losses could send the price towards the $880 support area.

Technical Indicators

MACD per hourETH/USD’s MACD is gaining momentum in bearish territory.

Hourly RSIThe RSI for ETH/USD is now below the 50 level.

Key Support Level – $1,000

Key Resistance Level – $1,080



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