Ethereum extended losses below the $1,400 support against the US Dollar. ETH is consolidating and it could recover if there is a clear move above the $1,340 resistance level.
- Ethereum started a major decline below the $1,400 and $1,350 levels.
- The price is now trading below $1,400 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $1,320 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is down more than 10% and is currently consolidating losses near $1,300.
Ethereum price falls by more than 10%
Ethereum started a major decline above the $1,550 level. ETH broke a key support near the $1,500 level and the 100 hourly simple moving average. The recent drop in FTT and SOL dragged the market down, including in Bitcoin.
Ether price declined below the $1,400 support level. The bears were also able to push the price below the $1,350 level. The price traded as low as $1,221 and recently corrected a bit higher. A move above the $1,250 and $1,300 levels.
The price is now trading below $1,400 and the 100 hourly simple moving average. It is consolidating near the 23.6% Fib retracement level of the recent decline from the $1,580 high to $1,221 low.
An immediate upside resistance is near the $1,320 level. There is also a major bearish trend line forming with resistance near $1,320 on the hourly chart of ETH/USD. The next major resistance is near the $1,340 level. A clear break above the $1,340 resistance could set a good upside momentum.
Source: ETHUSD on TradingView.com
In the said case, the price could rise to the level of $1,400. It is near the 50% Fib retracement level of the recent decline from the $1,580 high to $1,221 low. Any further gains could send the price towards the $1,500 resistance area.
More losses in ETH?
If Ethereum fails to climb above the $1,340 resistance, it could continue to decline. An initial support on the downside is near the $1,275 level.
The next major support is near the $1,220 level, below which Ether price may extend losses. In the said scenario, the price may decline towards the $1,100 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 – $1,275
Key Resistance Level – $1,340