Ethereum extended losses below the $1,200 support against the US Dollar. ETH is consolidating and may even test the $1,000 support area in the near term.
- Ethereum started a major decline below the $1,320 and $1,250 levels.
- The price is now trading below $1,250 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1,200 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is recovering, but the upside can be limited above the $1,200 resistance area.
Ethereum price falls by over 15%
Ethereum remained in a bearish zone after settling below the $1,500 level. ETH broke several important support areas near $1,300 to move further into the downside zone.
The price declined below the $1,300 and $1,250 support levels. It even declined below the $1,200 level and the 100 hourly simple moving average. Ether price dropped as low as $1,070 and recently started an upside correction similar to bitcoin.
There was a slight increase above the $1,120 resistance level. The price is now trading above the $1,150 level and it is facing several hurdles. An immediate upside resistance is near the $1,190 level. There is also a major bearish trend line forming with resistance near $1,200 on the hourly chart of ETH/USD.
The trend line resistance is near the 23.6% Fib retracement level of the recent decline from the $1,580 high to $1,070 low. The next major resistance is near the $1,240 level. A clear break above the $1,240 resistance could set a good upside momentum.
Source: ETHUSD on TradingView.com
In the alleged case, the price is likely to move higher towards the $1,320 level. It is near the 50% Fib retracement level of the recent decline from the $1,580 high to $1,070 low. Any further gains could send the price towards the $1,400 resistance area.
More losses in ETH?
If Ethereum fails to climb above the $1,240 resistance level, it could continue the downside. An initial support on the downside is near the $1,120 level.
The next major support is near the $1,070 level, below which Ether price might extend losses. In the said scenario, the price may decline towards the $1,000 support area in the near term.
hourly macd , The MACD for ETH/USD is now losing momentum in the bearish zone.
hourly rsi , The RSI for ETH/USD is now below the 50 level.
Key Support Level – $1,120
Key Resistance Level – $1,240