Ethereum
Ethereum Price Fights Resistance: It Faces a Strong Rise Ahead
Ethereum Price Fights Resistance
Ethereum price declined sharply and tested the $3,580 support zone. ETH is now recovering and facing many obstacles near the $3,740 zone.
- Ethereum launched a recovery wave and broke above the $3,660 resistance.
- The price is trading below $3,750 and the 100 hourly simple moving average.
- A key downtrend line is forming with resistance near $3,740 on the ETH/USD hourly chart (data feed via Kraken).
- The pair could begin a fresh upward move unless there is a close below the $3,640 support.
Ethereum price faces resistance
Ethereum price extended its decline below the $3,660 support zone. ETH even fell below $3,600 before the bulls appeared. A low formed near $3,574 and the price is now correcting losses, as Bitcoin.
There was a move above the $3,650 and $3,660 levels. The price climbed above the 50% Fibonacci retracement level of the downward move from the $3,838 high to $3,574 low. However, there was no close above the $3,700 level.
Ethereum is now trading below $3,740 and the 100-hour simple moving average. If there is another increase, ETH could face resistance near the $3,700 level.
The first major resistance is near the $3,740 level. There is also a key downtrend line forming with resistance near $3,740 on the ETH/USD hourly chart. The trendline is near the 61.8% Fibonacci retracement level of the downward move from the $3,838 high to $3,574 low.
An upside break above the $3,740 resistance could send the price higher. The next key resistance lies at $3,800, above which the price could gain ground and reach the $3,840 level. If the bulls push Ether above the $3,840 level, the price could rise and test the $4,000 resistance. Any further gains could send Ether towards the $4,080 resistance zone.
Another drop in ETH?
If Ethereum fails to breach the $3,740 resistance, it could continue to decline. Initial downside support is near $3,660. The next major support lies near the $3,640 area.
The main support lies at $3,580. A sharp move below the $3,580 support could push the price towards $3,500. Any further losses could push the price towards the $3,450 level in the near term.
Technical indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $3,640
Major Resistance Level – $3,740