Ethereum Revisits $2.8K, Why Upsides Might Be Limited


Ethereum started another pullback from the $3,030 resistance level against the US Dollar. ETH has even jumped below $2800 and is currently attempting an upward correction.

  • Ethereum started a significant decline below the $2,950 and $2,860 support levels.
  • The price is now trading below $2950 and the 100 hourly simple moving average.
  • There is a major bearish trend line forming with resistance near $2,910 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair must remain above the $2800 support level to start a good recovery in the near term.

Ethereum price restarts to decline

Ethereum fails to accelerate move above Resistance $3,030. ETH topped and started to drop significantly below the $2950 support.

There was a sharp move below the $2900 level and Simple moving average per 100 hours. Ether price rose even below the $2800 support area. A new weekly low has been formed near $2,766 and the price is now consolidating its losses. Recovered above the $2800 level.

There was a break above the 23.6% Fib retracement level of the recent decline from the $3,041 swing high to $2,766. On the upside, we see an initial resistance near the $2,860 level.

The next major resistance is near the $2900 level. There is also a major bearish trend line forming with resistance near $2,910 on the hourly chart of ETH/USD. The trend line is near the 50% Fib retracement level of the recent decline from the $3,041 high swing high to $2,766 low.

Ethereum price

Source: ETHUSD on TradingView.com

The apparent move above the resistance at $2,910 may start to rise again. The next major resistance on the upside might be $2,950. Any further gains could send the price towards the $3030 resistance level.

More losses in ETH?

If Ethereum fails to rise above $2900, it may continue to decline. There is initial support on the downside near the $2800 area.

The first major support is near the $2,765 level. If there is a downside break below the $2,765 support, the price may start declining again. The next major support is near the $2,650 area, below which there is a risk of a move towards $2,500.

Technical Indicators

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

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

Main Support Level – $2,765

Key Resistance Level – $2,910



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