Ethereum price failed to clear the $1,720 resistance against the US Dollar. ETH corrected lower and remains at a risk of more losses below $1,620.
- Ethereum is now showing a few bearish signs below $1,720 and $1,740.
- The price is trading below $1,680 and the 100 hourly simple moving average.
- There was a break below a key bullish trend line with support near $1,680 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could decline heavily if the bulls fail to protect $1,620 and $1,600.
Ethereum Price Dips Again
Ethereum price made another attempt to clear the $1,720 resistance zone. However, ETH struggled to gain pace above $1,700 and started a fresh decline, similar to bitcoin.
The price reacted to the downside and traded below the $1,680 support. Besides, there was a break below a key bullish trend line with support near $1,680 on the hourly chart of ETH/USD. The pair even moved below the $1,640 support.
A low is formed near $1,621 and the price is now recovering losses. Ether price is trading below $1,680 and the 100 hourly simple moving average.
On the upside, the price is facing resistance near the $1,670 level. It is near the 50% Fib retracement level of the recent decline from the $1,719 swing high to $1,621 low. The first major resistance is near the $1,685 level and the 100 hourly simple moving average.
Source: ETHUSD on TradingView.com
The 61.8% Fib retracement level of the recent decline from the $1,719 swing high to $1,621 low is also near $1,682. The next major resistance is near the $1,720 zone. A clear move above the $1,720 resistance zone start a steady increase towards the $1,800 level. Any more gains might open the doors for a move towards the $1,880 level.
More Losses in ETH?
If ethereum fails to clear the $1,685 resistance, it could continue to move down. An initial support on the downside is near the $1,620 level.
The next major support is near the $1,600 zone. If there is a break below $1,600, the price might continue to drop towards the $1,535 support. Any more losses might call for a test of the $1,500 level.
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,620
Major Resistance Level – $1,685