Ethereum found support near $1,760 and corrected higher against the US Dollar. ETH is now facing significant resistance near $1,850 and $1,880.
- Ethereum is slowly moving higher and is trading above $1800.
- The price is now trading below $1,880 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1,905 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair may start a new decline unless there is a clear move above $1,880 and $1,920.
Ethereum price faces resistance
Ethereum’s drop extends below $1850 support area. It even jumped below $1800 before the bulls appeared near the $1,760 area.
The bottom formed near $1,762 and the price started a recovery wave. The price rose above the $1,800 resistance. Ether price moved above the 23.6% Fib retracement level of the downside move from the $2,015 swing high to $1,762.
However, the bears are currently protecting further gains above the $1.850 level. It also trades for less than $1,880 and 100-hour simple moving average.
On the upside, there is an initial resistance near the $1,860 level and the 100 hourly simple moving average. The next major resistance is near the $1,880 area. It is close to the 50% Fib retracement level of the downside move from the $2,015 swing high to $1,762.
Source: ETHUSD on TradingView.com
There is also a major bearish trend line forming with resistance near $1,905 on the hourly chart of ETH/USD. A clear move above the trend line and the resistance at $1,920 may start a proper increase. In the aforementioned case, the price could return a visit of $2,000, which could exceed $2,050.
A new drop in ETH?
If Ethereum fails to recover above the resistance at $1,920, it may start dropping again. There is initial support on the downside near the $1800 area.
The next major support is near the $1,760 level. A clear move below the $1,760 level could trigger a significant decline. The next major support might be $1,720. Any further losses could lead the price towards the $1,650 level in the near term.
MACD per hour – ETH/USD’s MACD is gaining momentum in bearish territory.
Hourly RSI – The RSI for ETH/USD is now struggling to cross the 50 level.
Main Support Level – $1,760
Key Resistance Level – $1,920