Ethereum declined sharply from the $1,655 resistance zone against the US Dollar. ETH is struggling and remains at a risk of more losses below the $1,450 level.
Ethereum started a fresh decline after it failed to clear the $1,650 resistance zone.
The price is now trading below $1,550 and the 100 hourly simple moving average.
There is a major bearish trend line forming with resistance near $1,610 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could accelerate further lower below the $1,450 support zone in the near term.
Ethereum Price Starts Fresh Decline
Ethereum failed to gain strength for a move above the $1,650 and $1,660 resistance levels. ETH formed a top near the $1,653 level and started a fresh decline.
There was a steady decline below the $1,600 level and the 100 hourly simple moving average. The price even traded below the $1,550 and $1,520 support levels. There was a drop over around 10% and the price traded as low as $1,453.
Ether price is now consolidating losses above the $1,450 level and below the 100 hourly simple moving average. On the upside, the price is facing resistance near the $1,500 level. It is near the 23.6% Fib retracement level of the recent decline from the $1,653 swing high to $1,453 low.
The next major resistance is near the $1,550 and $1,560 levels. It is near the 50% Fib retracement level of the recent decline from the $1,653 swing high to $1,453 low.
Source: ETHUSD on TradingView.com
A clear break above $1,560 might send the price towards the $1,600 level. There is also a major bearish trend line forming with resistance near $1,610 on the hourly chart of ETH/USD. Any more gains may perhaps open the doors for a move towards the $1,650 resistance in the near term.
More Losses in ETH?
If ethereum fails to rise above the $1,500 resistance, it could continue to move down. An initial support on the downside is near the $1,450 zone.
The next major support is near $1,420. A downside break below the $1,420 support might another sharp decline. In the stated case, ether price might decline towards the $1,350 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,450
Major Resistance Level – $1,550
