Ethereum Price Struggles While Bitcoin Jumps – Why ETH Could Take Major Hit

Ethereum price is still struggling to climb again above $2,250 while Bitcoin broke $43,500. ETH is showing a few concerning signs and might take a major hit.

• Ethereum is struggling to gain pace for a move above the $2,250 resistance zone.
• The price is trading below $2,220 and the 100-hourly Simple Moving Average.
• There is a key bullish trend line forming with support near $2,170 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could decline heavily if it stays below $2,250 for a long time.

Ethereum Price Faces Hurdles

Ethereum price made another attempt to clear the $2,250 and $2,265 resistance levels. However, ETH failed to settle above the $2,250 resistance. There are clearly more than two rejections noted near the $2,250 and $2,265 levels.

On the other hand, Bitcoin gained pace for a move above the $43,500 resistance. This could be a warning sign for ETH bulls. The recent low was formed near $2,155 and the price is now consolidating. It is above the 23.6% Fib retracement level of the recent decline from the $2,265 swing high to the $2,155 low.

There is also a key bullish trend line forming with support near $2,170 on the hourly chart of ETH/USD. Ethereum is now trading below $2,220 and the 100-hourly Simple Moving Average.

On the upside, the price is facing resistance near the $2,210 level. It is close to the 50% Fib retracement level of the recent decline from the $2,265 swing high to the $2,155 low. The next key resistance is near the $2,250 level or $2,265. A clear move above the $2,2650 zone could send the price toward the $2,320 level.

Source: ETHUSD on TradingView.com

The next resistance sits at $2,365. Any more gains could start a wave toward the $2,450 level, above which Ethereum might rally and test the $2,500 zone.

More Losses in ETH?

If Ethereum fails to clear the $2,250 resistance, it could start another decline. Initial support on the downside is near the $2,170 level and the trend line.

The first key support could be the $2,120 zone. A downside break and a close below $2,120 might spark strong bearish moves. In the stated case, Ether could revisit the $2,000 support. Any more losses might send the price toward the $1,880 level in the coming sessions.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 level.

Major Support Level – $2,170

Major Resistance Level – $2,250

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.