Ethereum tested the key support area of $1,265 against the US Dollar. ETH may correct higher, but gains could face hurdles near $1,300 and $1,310.
- Ethereum remains in a bearish zone below the $1350 and $1320 support levels.
- The price is now trading below $1,300 and the 100 hourly simple moving average.
- There was a break above the descending trend line connected with resistance near $1,285 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair remains at risk of a sharp decline if it remains below the $1,300 pivot level.
Ethereum price faces hurdles
Ethereum Gained a bearish pace It settled below the $1,300 support area. Even ETH fell below the $1,280 level and settled below the 100 hourly simple moving average.
There was a slight push below yesterday’s low, but the bulls were active near the $1,265 region. The bottom formed near $1,268, and the price is now correcting higher. There was a short term wave above the $1.280 level. Ether price was able to surpass the 23.6% Fib retracement level of the recent decline from the $1,337 swing high to $1,268 low.
Besides, there was a break above the descending trend line connected with resistance near $1,285 on the hourly chart of ETH/USD. They are now trading for less than $1,300 and Simple moving average per 100 hours.
There is an immediate resistance on the upside near the $1,295 level. The first major resistance is near the $1,300 level. It is close to the 50% Fib retracement level of the recent decline from the $1,337 swing high to $1,268 low. If there is an upside breakout above the $1,300 resistance area, the price of Ethereum could rise towards the $1,320 resistance.
source: ETHUSD on TradingView.com
A clear break above $1,320 could lead the price higher. The next major resistance could be near the $1350 level, above which the price could revisit $1400.
More losses in ETH?
If Ethereum fails to recover above the $1,300 resistance, it may continue to decline. There is initial support on the downside near the $1270 level.
The next major support is near the $1,265 level. A downside breakout below the $1,265 level could trigger a sharp decline. In the aforementioned case, the price of Ether may fall towards the $1200 level.
MACD per hour – ETH/USD’s MACD is losing momentum in bearish territory.
Hourly RSI – The RSI for ETH/USD is now above the 50 level.
Key Support Level – $1,265
Key Resistance Level – $1300