Ethereum Price Faces Challenges: Will It Find Traction Soon?
Ethereum price struggled to extend gains above the $3,220 resistance zone. ETH is slowly moving lower and approaching the support at $3,060.
- Ethereum is consolidating and facing hurdles near $3,200.
- The price is trading below $3,120 and the 100 hourly simple moving average.
- There is a bullish trend line forming with support at $3,070 on the hourly chart of ETH/USD (data via Kraken).
- If the $3,120 resistance zone is exceeded, the pair may start a new leg higher.
Ethereum price drops again
Ethereum price attempted an upward break above the $3,220 resistance but failed Bitcoin. ETH started a fresh decline below the $3,150 and $3,120 support levels.
The price fell below $3,100 and tested $3,070. The low was formed at $3,069 and the current price is consolidate. It tested the 23.6% Fib retracement level of the recent swing high of $3,224 to low of $3,069.
Ethereum price is currently trading below $3,120 and the 100 hourly simple moving average. However, a connecting bullish trend line is forming with support at $3,070 on the hourly chart of ETH/USD.
On the bright side, the price seems to be facing a hurdle near the $3,120 level. The first major resistance level is seen near $3,150, which is the 50% Fibonacci retracement level of the recent swing high of $3,224 to low of $3,069. Major resistance is currently forming near $3,220.
A clear break above the $3,220 resistance may push the price towards the $3,350 resistance. An upside break above the $3,350 resistance may bring more gains in the coming sessions. In the above scenario, Ethereum may rise towards the $3,500 resistance zone.
ETH loses more?
If Ethereum fails to break the $3,150 resistance, it may start another decline. Initial support on the downside is near the $3,060 level or trend line. The first major support is located near the $3,000 area.
A clear break below the $3,000 support could push the price towards $2,880. If there is further decline, the price may move towards the $2,740 support in the near term. The next key support is located at $2,650.
Technical indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
hourly relative strength index – The RSI for ETH/USD is currently below the 50 area.
Major Support – $3,060
Major Resistance – $3,150
