Ethereum fell below the $4.200 support level against the US Dollar. ETH was able to spike below $4,000 but it could now recover higher.
- Ethereum experienced a sharp decline starting at $4,350 resistance level and $4,300 support levels.
- The current price trades below $4,200 as well as the simple 100-hour moving average.
- The hourly chart of USD/ETH shows a rising channel with support at $4,000 (data feed via Kraken).
- A proper close below $4,000 could lead to losses for the pair.
The Ethereum price turns red
Ethereum encountered strong resistance around the $4350 area. ETH reached a high of $4,350 just before it experienced a dramatic decline. They gained momentum to move below the $4200 support level and the 100 hourly simple average.
Below the $4,100 mark, the decline continued. The Ether price rose to $4,000 and reached a high of $3,958. The $4,000 mark is where it consolidates. The $4,050 mark is the immediate resistance.
This is the 23.6% Fib level that retraced the decline from $4,343 swing highs to $3,958 lows. Near the $4,100 mark is the next significant resistance. On the hourly chart of USD/ETH, there is a rising channel with support close to $4,000
Near the $4,150 mark is where the main obstacle lies. This is close to the Fib retracement of the recent fall from the $4.343 swing high and the $3.958 low. Breaking above $4,150 could spark another rally. Next is $4,250 as the key resistance. In the short term, any further gains may push the price to the $4.350 mark.
What Are the Losses of ETH More?
It could continue its slide if it fails to rise above the resistance levels of $4,150 or $4,200. The $4,000 mark is the initial support level for the downside.
At the $3950 level, there is the initial major support. Additional losses could be triggered by a clear break below $3,950. Near the $3850 support level is the next significant support. Below which, the price may slide to the $3500 level.
Technical indicators
Minutely MACD – In the bearish zone, the MACD for USD/ETH is gradually losing speed.
Hourly RSI – The RSI is gradually moving towards the 50 mark for USD/ETH.
Major Support Level – $4,000
Major Resistance Level – $4,150
