Ethereum Price Struggles At Resistance, Opening Door To Renewed Losses

[Ben Graham]

Ethereum price extended its decline below $2,420 and $2,300. ETH is now attempting to recover from $2,150 but faces many hurdles near $2,365.

• Ethereum failed to stay above $2,350 and started a fresh decline.
• The price is trading below $2,350 and the 100-hourly Simple Moving Average.
• There is a major bearish trend line forming with resistance at $2,350 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could start a fresh decline if it stays below the $2,400 zone.

Ethereum Price Eyes Another Decline

Ethereum price failed to remain stable above $2,500 and extended losses, like Bitcoin. ETH price traded below $2,420 to enter a bearish zone.

The bears even pushed the price below $2,200. A low was formed at $2,155 and the price is now attempting to recover. There was a move above $2,250. The price tested the 23.6% Fib retracement level of the recent decline from the $3,040 swing high to the $2,155 low.

However, the bears are active near $2,365. There is also a major bearish trend line forming with resistance at $2,350 on the hourly chart of ETH/USD. Ethereum price is now trading below $2,350 and the 100-hourly Simple Moving Average.

If the bulls remain in action above $2,250, the price could attempt another increase. Immediate resistance is seen near the $2,350 level. The first key resistance is near the $2,365 level. The next major resistance is near the $2,450 level. A clear move above the $2,450 resistance might send the price toward the $2,600 resistance or the 50% Fib retracement level of the recent decline from the $3,040 swing high to the $2,155 low.

An upside break above the $2,600 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $2,700 resistance zone or even $2,720 in the near term.

Another Decline In ETH?

If Ethereum fails to clear the $2,365 resistance, it could start a fresh decline. Initial support on the downside is near the $2,250 level. The first major support sits near the $2,220 zone.

A clear move below the $2,220 support might push the price toward the $2,150 support. Any more losses might send the price toward the $2,120 region. The main support could be $2,000.

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 – $2,220

Major Resistance Level – $2,365