Ethereum price extended losses and tested the $2,300 support. ETH is now attempting a recovery wave above the $2,340 level and might test $2,390.
- Ethereum started a fresh decline below the $2,420 and $2,400 levels.
- The price is trading below $2,400 and the 100-hourly Simple Moving Average.
- There was a break above a connecting bearish trend line with resistance near $2,340 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair attempt a fresh increase if it clears the $2,390 and $2,400 levels.
Ethereum Price Revisits $2,300
Ethereum price struggled to start a fresh increase above the $2,550 and $2,580 resistance levels. ETH started a fresh decline and traded below the $2,400 support like Bitcoin.
There was a move below the $2,350 level. A new weekly low was formed near $2,302 and the price is now consolidating losses. There was a minor increase above the $2,330 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $2,479 swing high to the $2,302 low.
There was also a break above a connecting bearish trend line with resistance near $2,340 on the hourly chart of ETH/USD. Ethereum is now trading below $2,400 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance near the $2,365 level.
The next hurdle could be $2,390 or the 50% Fib retracement level of the downward move from the $2,479 swing high to the $2,302 low. The next major resistance is now near $2,400. A clear move above the $2,400 level might start a decent increase. In the stated case, the price could rise toward the $2,480 level.
Source: ETHUSD on TradingView.com
The next key hurdle sits near the $2,500 zone. A close above the $2,500 resistance could start another steady increase. In the stated case, Ether price could rise toward the $2,650 zone.
Another Decline in ETH?
If Ethereum fails to clear the $2,390 resistance, it could start another decline. Initial support on the downside is near the $2,320 level.
The next key support could be the $2,300 zone. A downside break below the $2,300 support might send the price further lower. In the stated case, Ether could test the $2,250 support. Any more losses might send the price toward the $2,200 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $2,300
Major Resistance Level – $2,390
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