Cody StewartEthereum extended decline below the $2,600 support zone against the US Dollar. ETH price could even retest $2,445, where the bulls might appear.
Ethereum remained in a bearish zone below the $2,650 support.
The price is now trading below $2,600 and the 100 hourly simple moving average.
There is a key bearish trend line forming with resistance near $2,600 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could extend decline if it fails to stay above $2,500 and $2,445.
Ethereum Price Turns Red
Ethereum started a fresh decline from well above $2,700. ETH traded below the $2,650 and $2,600 support levels to move into the red zone.
There was also a close below the $2,600 level and the 100 hourly simple moving average. Ether price traded as low as $2,525 and is currently consolidating losses. An immediate resistance on the upside is near the $2,585 level. It is near the 23.6% Fib retracement level of the recent decline from the $2,775 swing high to $2,525 low.
The first major resistance is seen near the $2,620 level and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $2,600 on the hourly chart of ETH/USD.
Source: ETHUSD on TradingView.com
The next major resistance is near the $2,650 level. It is near the 50% Fib retracement level of the recent decline from the $2,775 swing high to $2,525 low. A close above the $2,650 resistance could start a steady increase. In the stated case, the price might rise towards the $2,750 level, where the bears could take a stand in the near term.
More Losses in ETH?
If ethereum fails to start a fresh increase above the $2,620 level, it could continue to move down. An initial support on the downside is near the $2,525 level.
The next major support is near the $2,500 level. A close below the $2,525 and $2,500 support levels might push the price further lower. In the stated case, the price could revisit $2,445. Any more gains may perhaps open the doors for a larger decline towards the $2,320 level or even $2,250.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now gaining pace in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $2,500
Major Resistance Level – $2,650
Zita Mraz
