Could $3K Be Tested Soon?
Ethereum price failed to break above the $3,450 resistance and extended losses. ETH is struggling and may continue to fall if it remains below $3,500.
- Ethereum started a fresh decline from the $3,450 area.
- The price is trading below $3,400 and the 100 hourly simple moving average.
- There is a bearish trend line connecting with resistance at $3,340 on the hourly chart of ETH/USD (data via Kraken).
- The pair may struggle to start a fresh rise above the $3,400 resistance.
Ethereum price extends losses
Ethereum price failed to initiate a recovery wave above $3,500 levels and extended losses, e.g. Bitcoin. ETH fell below the $3,450 and $3,400 support levels.
There was a clear break below $3,350 and $3,320. A low was formed at $3,213, with the price currently consolidating below the 23.6% Fib retracement level of the recent swing high from $3,743 to $3,213 low. There is also a bearish trend line forming with resistance at $3,340 on the hourly chart of ETH/USD.
Ethereum price is currently trading below $3,400, 100 hour simple moving average. On the upside, the price seems to be facing obstacles near the $3,350 level and trendline.
The first major resistance level is seen near $3,475, which is the 50% Fibonacci retracement level of the recent swing high of $3,743 to low of $3,213. Major resistance is currently forming near $3,500. A clear break above the $3,500 resistance may push the price towards the $3,550 resistance.
An upside break above the $3,550 resistance may bring more gains in the coming sessions. In the above scenario, Ethereum may rise towards the $3,650 resistance zone or even $3,720 in the short term.
ETH loses more?
If Ethereum fails to break the $3,400 resistance, it may start another decline. Initial support on the downside is near $3,280. The first major support is near $3,220.
A clear break below the $3,220 support could push the price towards the $3,150 support. Any further losses may push the price towards the $3,050 support in the near term. The next key support is located at $3,000.
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 – $3,250
Major Resistance – $3,400
