Ethereum started another drop below $1,200 against the US Dollar. ETH could drop significantly if there is a close below $1,150.
- Ethereum failed to clear the $1,280 resistance area and fell below $1,200.
- The price is now trading under $1,200 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1180 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to decline if there is a close below the $1150 level.
Ethereum price hits
Ethereum attempted a bullish breakout above $1,275 resistance area. However, ETH failed to extend gains and started a new drop below the $1220 level.
There was a clear move below the $1200 level and Simple moving average per 100 hours. Ether price traded below the 50% Fib retracement level of the upward move from the $1,076 swing low to $1,276 high. It is now struggling to stay above the $1,150 support area.
The price is consolidating near the 61.8% Fib retracement level of the upward move from the $1,076 swing low to $1,276 high. There is also a major bearish trend line forming with resistance near $1180 on the hourly chart of ETH/USD.
There is immediate resistance on the upside near the $1,175 level. The next major resistance is near the trendline area and $1180, above which the price could rise towards $1220.
Source: ETHUSD on TradingView.com
The key barrier remains near the $1,280 level, above which the price may gain strength. In the mentioned case, the price could rise towards the $1350 resistance area.
More losses in ETH?
If Ethereum fails to rise above the $1180 resistance, it may continue to decline. There is initial support on the downside near the $1123 region. The next major support is near the $1,080 area.
A break-down below the support level at $1,080 could push the price further lower. In the mentioned case, the price may decline towards the $1,020 level. If the price fails to stay above the $1020 or $1,000 level, it may also slide towards the $950 level.
MACD per hour – ETH/USD’s MACD is gaining momentum in bearish territory.
Hourly RSI – The RSI for ETH/USD is now well below the 50 level.
Key Support Level – $1,125
Key Resistance Level – $1,180