Ethereum price struggled to clear $2,720 and corrected gains. ETH is now struggling to stay above the key support zone at USD 2,440 and could extend its losses.
- Ethereum continued to climb towards $2,720 before the bears appeared.
- The price is trading below $2,550 and the 100-hourly Simple Moving Average.
- A connecting bearish trendline is forming with resistance near $2,520 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a downward move if it breaks the $2,440 support zone.
Ethereum price revisits support
Ethereum price surpassed Bitcoin and extended its rise above the USD 2,550 resistance. ETH even broke the $2,600 zone and peaked above $2,700. Finally, the beards appeared near the USD 2,720 resistance.
A new multi-week high formed near $2,716 before the price corrected gains. There was a move below the USD 2,600 and USD 2,550 levels. The price fell below the 23.6% Fib retracement level of the upward move from the $2,170 swing low to the $2,716 high.
Ethereum is now trading below $2,550 and the 100-hourly Simple Moving Average. If a new increase occurs, the price may encounter resistance near the $2,520 level. There is also a connecting bearish trendline forming with resistance around $2,520 on the hourly chart of ETH/USD.
Source: ETHUSD on TradingView.com
The next major resistance is now near $2,585. A clear move above the USD 2,585 level could send ETH towards USD 2,650. The main resistance is now forming around the $2,720 level. A close above the USD 2,720 resistance could push the price further into a bullish zone. The next major resistance is near USD 2,780. Any further gains could send the price towards the $2,880 zone.
Lose more in ETH?
If Ethereum fails to clear the USD 2,520 resistance, it could continue to decline. The initial downside support is near the $2,440 level or the 50% Fib retracement level of the upward move from the $2,170 swing low to the $2,716 high.
The next major support could be the $2,350 zone. A downside break below the USD 2,350 support could push the price further down. In the mentioned case, Ether could test the USD 2,300 support. Any further losses could send the price towards the USD 2,240 level.
Technical indicators
hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major support level – $2,440
Major resistance level – $2,585
