Ethereum price started a fresh drop from the $1,940 resistance against the US dollar. ETH has retested $1,825 and is showing some bearish signs.
- Ethereum struggled to break above the $1,925 and $1,940 resistance levels.
- The price is trading below $1,880 and the 100-hour Simple Moving Average.
- There was a break below a key bullish trendline with support near USD 1,895 on the ETH/USD hourly chart (data feed via Kraken).
- The pair could drop further if it clears the $1,800 support zone.
Ethereum price drops again
The price of Ethereum started a fresh increase above the $1,850 zone. ETH struggled to break above the $1,925 and $1,940 resistance levels, similar to Bitcoin at $29,500.
A high was formed near $1,939 and the price started falling again. There was a sharp decline below the $1,900 and $1,880 levels. In addition, there was a break below a key bullish trendline with support near USD 1,895 on the ETH/USD hourly chart.
A low is forming near USD 1,825 and the price is now consolidating losses. Ether price is now trading below $1,880 and the 100-hour Simple Moving Average.
Immediate resistance is near the $1,850 level. It is close to the 23.6% Fib retracement level of the recent drop from the $1,939 swing high to the $1,825 low. The next major resistance appears to be forming near USD 1,900 and the 100-hour Simple Moving Average.
Source: ETHUSD at TradingView.com
The 50% Fib retracement level of the recent drop from the $1,939 swing high to the $1,825 low is also near the $1,900 level. A close above the $1,900 level could trigger another rise. In the said case, the price could rise towards the $1,940 resistance. Any further gains could send Ether towards the $2,000 resistance.
Lose more in ETH?
If Ethereum fails to clear the $1,900 resistance, it could fall further. The first support on the downside is near the $1,825 level.
The next major support is near the USD 1,800 zone, below which the ether price could decline towards the USD 1,740 support zone. More losses may push the price to $1,700 in the near term.
Technical indicators
MACD per hour – The MACD for ETH/USD is now gaining momentum in the bearish zone.
RSI per hour – The RSI for ETH/USD is well below the 50 level.
Major Support Level – $1,800
Major resistance level – $1,900
