Ethereum dropped sharply from the USD 1,655 resistance zone. ETH is struggling and is at risk of further losses below $1,450.
- Ethereum started a new downtrend after failing to clear the $1,650 defense zone.
- The price is now trading below $1,550 and below the 100 hourly simple moving average.
- There is a large bearish trend line with resistance near $1,610 on the hourly ETH/USD chart (data feed via Kraken).
- The pair may accelerate below the $1,450 support zone in the near term.
The price of Ethereum starts a new decline
Ethereum failed to find the strength to move above the $1,650 and $1,660 resistance levels. ETH made a high near the $1,653 level and started a new downtrend.
There was a steady decline below the $1,600 level and the 100 hourly simple moving average. The price traded below the $1,550 and $1,520 support levels. There was a discount of over 10 percent and the price dropped to $1,453.
Ether price is now consolidating losses above the $1,450 level and below the 100 hourly moving average. On the upside, the price is facing resistance near the $1,500 level. It is close to the 23.6% Fib retracement level 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 at 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 could send the price towards the $1,600 level. There is a major bearish trend line with resistance near $1,610 on the hourly chart of ETH/USD. Any further gains would likely open the door to a move towards $1,650 resistance in the near term.
More losses in ETH?
If ethereum fails to rise above the $1,500 resistance, it may continue to move lower. The first support on the downside is near the $1,450 zone.
The next major support is around $1,420. A bearish break below the $1,420 support could lead to another major decline. In the mentioned scenario, the price of Ether may drop to the $1,350 level.
Hourly MACD – The MACD for ETH/USD is currently trending in the bearish zone.
Hourly RSI – The ETH/USD RSI is now below the 50 level.
Main support level – $1,450
Main resistance level – $1,550