Ethereum price is struggling to stay above the USD 1,550 support against the US dollar. ETH could take a hit if it falls below $1,550 and then $1,540.
- Ethereum is showing bearish signs and struggling to clear $1,600.
- The price is trading below $1,600 and the 100-hourly Simple Moving Average.
- A major bearish trendline is forming with resistance near $1,600 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a recovery wave if the bulls defend the USD 1,550 support zone.
Ethereum Price Battle
Ethereum failed to initiate a recovery wave above the $1,600 resistance zone. ETH remained in a bearish zone and extended its decline to $1,550, just like Bitcoin.
It looks like the bears were already trying to close below the $1,550 support zone. A new swing low was formed near $1,542 and the price is now consolidating losses. The price is back above the USD 1,550 level but still showing heavy bearish signs.
Ethereum is now trading below $1,600 and the 100-hourly Simple Moving Average. Additionally, a major bearish trendline is forming with resistance around $1,600 on the hourly chart of ETH/USD.
On the upside, the price could encounter resistance near the USD 1,570 level. It is close to the 23.6% Fib retracement level of the downward move from the $1,664 swing high to the $1,542 low. The first major resistance is near the trendline and $1,600 or the 100-hour Simple Moving Average.
Source: ETHUSD on TradingView.com
The 50% Fib retracement level of the downward move from the $1,664 swing high to the $1,542 low is also close to the trendline. The next major resistance is at USD 1,620, above which the price could rise towards the USD 1,665 resistance zone. A close above the USD 1,665 resistance could send the price towards the key USD 1,750 resistance. Any further gains could open the doors for a move towards $1,880.
Disadvantage Break in ETH?
If Ethereum fails to clear the USD 1,600 resistance, it could continue to decline. The initial downside support is near the $1,550 level. The next major support is at USD 1,540.
A downside break below the $1,540 support could trigger another strong decline. In the mentioned case, the price could reach the $1,480 level again. Any further losses could perhaps send Ether towards the $1,420 level.
Technical indicators
hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major support level – $1,540
Major resistance level – $1,600
