Ethereum struggled to remove the key resistance of $1,920 against the US Dollar. ETH has fallen sharply and is now testing the key $1,700 support area.
- Ethereum failed to break above the key resistance area of $1,920.
- The price is now trading below $1800 and the 100 hourly simple moving average.
- There was a break below the major uptrend line with support near $1800 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could drop sharply if there is a clear move below the $1,700 support area.
Ethereum price gains
Ethereum speed increased above Resistance Level $1,850 to start the wave of recovery. There was a steady move above the $1,880 level and the 100 hourly simple moving average.
The price rose above the 50% Fib retracement level of the major decline from the $2.015 swing high to $1,735. Ether price moved above the $1900 level, but the bears remained active near the main hurdle at $1,920.
The price struggled above the $1900 level. The sellers encountered near the 61.8% Fib retracement level of the major decline from the $2.015 swing high to $1,735.
As a result, there was a sharp drop below the support level at $1,850. There was a break below the major uptrend line with support near $1,800 on the hourly chart of ETH/USD. The price of ether dropped dramatically and even broke $1750 support zone.
Source: ETHUSD on TradingView.com
It is now consolidating its losses above the $1,700 support level. On the upside, there is an initial resistance near the $1,780 level. The next major resistance is near the $1,800 and $1,820 levels. A clear move above the resistance at $1,820 may start a healthy recovery. In the said case, the price could set you back a visit of $1,850. Any further gains could set the pace for a move towards $1,900.
More losses in ETH?
If Ethereum fails to rise above the resistance level at $1,820, it may continue to decline. There is initial support on the downside near the $1,720 area.
The next major support is near the $1,700 level. A clear move below the $1700 level could trigger a significant decline. The next major support might be $1,660. Any further losses could send the price towards the $1,550 level in the near term.
Technical Indicators
MACD per hour – ETH/USD’s MACD is gaining momentum in bearish territory.
Hourly RSI – The RSI for ETH/USD is now in the oversold territory.
Key Support Level – $1700
Key Resistance Level – $1,820