Ethereum is struggling to recover above the $1,710 and $1,750 resistance levels against the US Dollar. ETH price is likely to continue lower if it fails to stay above the $1,650 support level.
- Ethereum is showing a few bearish signs below the $1,750 and $1,710 resistance levels.
- The price is currently trading well below $1,750 and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance near $1,740 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could correct higher, but it is likely to face a strong selling interest near $1,710 and $1,750.
Ethereum Price Remains At Risk
Ethereum tested the $1,650 support zone and started an upside correction. It climbed above the $1,700 level, but it struggled to even test $1,750. A high is formed near $1,720 before the price started a fresh decline.
It broke the $1,700 level and retested the $1,660 support. Ether is now trading well below $1,750 and the 100 hourly simple moving average. A low is formed near $1,650 and the price is currently consolidating losses, similar to bitcoin.
An initial resistance on the upside is near the $1,685 level. It is near the 50% Fib retracement level of the recent decline from the $1,721 high to $1,650 low. The first major resistance is near the $1,700 and $1,705 levels.
Source: ETHUSD on TradingView.com
The 76.4% Fib retracement level of the recent decline from the $1,721 high to $1,650 low is also near $1,705. Moreover, there is a key bearish trend line forming with resistance near $1,740 on the hourly chart of ETH/USD. A clear break above the $1,720 high and then a follow up move above $1,750 is must for a fresh increase in the near term.
More Losses in ETH?
If Ethereum fails to climb above the $1,705 and $1,720 resistance levels, it could continue to move down. An initial support on the downside is near the $1,660 level.
The main support is near the $1,650 level. A clear downside break below the $1,650 support is likely to clear the path for a sharp decline. In the stated case, the price might test $1,600 or even $1,580 in the near term.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is still well below the 50 level.
Major Support Level – $1,650
Major Resistance Level – $1,720