Ethereum

Other downside risks in sight

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Ethereum price failed to breach the $3,650 resistance. ETH declined again after the Fed decision and is now showing bearish signs below the $3,550 level.

  • Ethereum started a fresh decline below the $3,580 support zone.
  • The price is trading below $3,550 and the 100 hourly simple moving average.
  • A major downtrend line is forming with resistance near $3,610 on the ETH/USD hourly chart (data feed via Kraken).
  • The pair could extend its losses if it stays below the $3,600 resistance zone.

Ethereum price falls again

Ethereum price attempted a recovery wave above the $3,550 and $3,580 resistance levels. However, ETH failed to settle above the $3,650 level and started a fresh decline. There has been a steady decline below the $3,580 level, as Bitcoin.

The price fell below $3,550 Support Level. There was a move below the 61.8% Fibonacci retracement level of the upward move from the $3,431 low to $3,655 high.

Ethereum is now trading below $3,550 and the 100 hourly simple moving average. There is also a major downtrend line forming with resistance near $3,610 on the ETH/USD hourly chart. If there is a further rise, the price could face resistance near the $3,580 level.

The first major resistance lies near the $3,600 level and the trendline. An upside break above the $3,600 resistance could send the price higher. The next key resistance lies at $3,650, above which the price could gain ground and reach the $3,720 level.

Source: ETHUSD on TradingView.com

A sharp move above the $3,720 level may require a test of the $3,800 resistance. Any further gains could send Ether towards the $3,880 resistance zone.

More disadvantages in ETH?

If Ethereum fails to breach the $3,600 resistance, it could continue to decline. Initial support on the downside is near $3,480 and the 76.4% Fibonacci retracement level of the upward move from the $3,431 low to $3,655 high. The next major support lies near the $3,420 area.

A sharp move below the $3,420 support could push the price towards $3,320. Any further losses could push the price towards the $3,250 level in the near term.

Technical indicators

Hourly MACDThe MACD for ETH/USD is gaining momentum in the bearish zone.

Hourly RSIThe RSI for ETH/USD is now below the 50 zone.

Major Support Level – $3,420

Major Resistance Level – $3,600

Source

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