Ethereum price started a new decline and was trading below $2,300. ETH is now consolidating above the $2,250 level and may have difficulty recovering.
- Ethereum has started a downward correction below the $2,280 area.
- The price is trading below the $2,300 level and the 100 hourly simple moving average.
- There is a downtrend line forming with resistance at $2,300 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new increase if it remains above the $2,320 area.
Ethereum price is facing resistance
Ethereum price failed to remain stable above the $2,320 level and started a downward correction Bitcoin. ETH price fell below the $2,300 and $2,280 levels.
The price even traded below $2,265. The bottom was formed at $2,256, and the price is now consolidating losses. There was a slight upward movement above the 23.6% Fib retracement level of the downward move from the high of $2,382 to the low of $2,256.
Ethereum price is now trading below $2,300 and 100 hourly simple moving average. Additionally, there is a downtrend line forming with resistance at $2,300 on the hourly chart of the ETH/USD pair.
If the bulls keep moving above the $2,250 level, the price may try to rise again. Immediate resistance is seen near the $2,300 level and the trend line. The first major resistance is near the $2,320 level or the 50% Fibonacci retracement level of the downward move from the $2,382 high to the $2,256 low.
The next major resistance is near the $2,335 level. A clear move above the $2,335 resistance level could send the price towards the $2,375 resistance level. A bullish break above the $2,375 area may require further gains in the coming days. In the mentioned case, Ether could rise towards the resistance area of $2,420 or even $2,440 in the near term.
Another drop in ETH?
If Ethereum fails to break above the $2,320 resistance level, it could start a new decline. Initial support on the downside is near the $2,265 level. The first major support is near the $2,250 area.
A clear move below the $2,250 support level could push the price towards the $2,200 support level. Any further losses could send the price towards the $2,150 area. The main support could be $2,120.
Technical indicators
MACD per hour – The MACD indicator for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now above the 50 area.
Key Support Level – $2,250
Major resistance level – $2,320
