Ethereum saw a sharp decline in value against the US Dollar, starting at $2700. ETH dropped below $2550 and may accelerate to $2,420.
- After it fell below $2700, Ethereum began a significant decline.
- The current price trades below $2,550.
- On the hourly chart for ETH/USD, there is a bearish trendline that forms with resistance at $24,490 (data feed via Kraken).
- If the close falls below $2,420, then it could drop further.
Ethereum price hits
Ethereum failed to surpass the $2700 resistance. ETH was close to the $2,700 threshold and then began a sharp decline. The ETH price dropped sharply below $2,620 and $2.550.
Even lower than the $2,500 mark and the simple 100-hour moving average, the bears pushed it below that level. An initial low has formed around $2,422, and the price is currently consolidating losses. An initial resistance can be seen at the $2,485 mark.
On the hourly chart for ETH/USD, there is a bearish trendline that forms with resistance at $2,490. Trend line located near the 23.6% Fib level of the decline from the $2.703 swing high, to the $2.422 low.
It is located near $2,565 as the initial major resistance. The Fib level is close to the 50% fib retracement of the decline from $2,703 swing high, $2,422 low. It is currently near the $2650 level and 100-hourly simple moving average.
Source: TradingView.com, ETHUSD
If the price closes above $2,650, it could lead to a substantial increase. The above scenario could lead to a rise in the price of ether towards $2,700.
Are There More Losses in Ethereum?
Ethereum could move lower if it does not gain momentum above the resistance of $2,565 Support for the downside lies near the $2,000.
Near the $2,400 mark is the next support. The ether price could accelerate lower if there’s a negative break below $2,000. It could fall below $2,350 in this scenario.
Technical Indicators
Minutely MACD – MACD is currently in bearish territory for USD/ETH.
Hourly RSI – The RSI is well below 50 for USD/ETH.
Major Support Level – $2,400
Major Resistance Level – $2,565