Ethereum price started a new decline and was trading below $2,350. ETH is now consolidating above the $2,265 level and may have difficulty recovering.
- Ethereum has started a downward correction from the $2,400 area.
- The price is trading below the $2,350 level and the 100 hourly simple moving average.
- There is a downtrend line forming with resistance at $2,310 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a new increase if it remains above the $2,350 area.
Ethereum price pares gains
Ethereum price failed to remain stable above $2,380 and started a downward correction Bitcoin. ETH price fell below the $2,365 and $2,350 levels.
The price even rose to less than $2,300. The bottom was formed at $2,264, 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 $2,404 to the low of $2,264.
Ethereum price is now trading below $2,300 and 100 hourly simple moving average. If the bulls keep moving above the $2,265 level, the price may try to rise again. Immediate resistance appears near the $2,310 level. There is also a downtrend line forming with resistance at $2,310 on the hourly chart of the ETH/USD pair.
The first major resistance is near the $2,335 level and the 50% Fibonacci retracement level of the downward move from the $2,404 swing high to the $2,264 low. The next major resistance is near the $2,350 level. A clear move above the $2,350 resistance level could send the price towards the $2,400 resistance level. A bullish break above the $2,400 area may require further gains in the coming days. In the mentioned case, Ether could rise towards the $2,500 or even $2,550 resistance area in the near term.
More losses in ETH?
If Ethereum fails to break above the $2,310 resistance level, it could start a new decline. Initial support on the downside is near the $2,285 level. The first major support is near the $2,265 area.
A clear move below the $2,265 support level could push the price towards the $2,220 support level. Any further losses could send the price towards the $2,200 area. The main support could be $2,120.
Technical indicators
MACD per hour – The MACD indicator for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 area.
Major support level – $2,265
Major resistance level – $2,350
