Ethereum could not maintain above the $4250 support level against the US Dollar. If it fails to overcome the $4250 resistance, ETH will likely lose $4,000 more.
- Ethereum experienced a sharp decline after soaring to levels well above $4,350 or $4,300.
- The current price trades below $4,250 as well as the simple 100-hour moving average.
- On the hourly chart for ETH/USD, there is a declining channel with resistance close to $4,250. (Data feed via Kraken).
- A clear break below the $4,000 support area could cause the pair to accelerate further.
Ethereum price has more downsides
Ethereum’s price declined to $4,350 and failed to maintain its support levels. This is similar to bitcoin. ETH prices fell sharply below $4,300 support level and $4,250 support levels.
It also broke below $4,120. The 100-hourly simple moving average and $4,250 are now the lowest levels. The low was formed at $4,067. ether is consolidating its losses. The $4,180 mark is the initial resistance to the upside.
Near the $4,250 mark is the first significant resistance. A short-term channel of declining support is also visible on the hourly chart. It lies near $4,250. It is near the 23.6% Fib level of the decline from $4.269 to $4.067 highs.
Near the $4,350 mark is the next significant resistance. This could mark the beginning of the breakout zone at $4,420. This is just below the Fib retracement of 50% the most recent fall from $4.269 to $4.067.
Source: TradingView.com, ETHUSD
In the short term, a close to the $4420 mark could trigger a new increase. The price could rise to $4,600 in the above scenario. Additional gains may push the price higher towards $4,750.
What Are the Losses of ETH More?
It could fall further if it fails to climb above $4,250 or $4,350 resistance levels. Support for the downside lies near $4,080.
At the $4,000.50 level, we see the formation of the first support. If the price falls below $4,050, it could push the price down below $4,000. Nearly $3,850 is the next support.
Indicators of technical importance
Minutely MACD – In the bearish zone, MACD is increasing in pace for USD/ETH.
Hourly RSI – The RSI of ETH/USD has now reached the 30 mark.
Major Support Level – $4,050
Major Resistance Level – $4,250
