Ethereum Lacking Momentum Above $4,300, Why Bulls Are Safe

Ethereum’s performance against the US dollar is slowing down, falling below the $4300 mark. The ETH price has been making gains but could find support close to $4,000.

  • Ethereum fell below the support levels of $4,220 or $4,200.
  • The stock price currently trades at $4,300.
  • The hourly chart for ETH/USD showed a breaking below the key bullish trendline with support at $4,350 (data feed via Kraken).
  • If the pair clears the $4,300 key resistance zone, it could begin a new increase.

Ethereum’s Price Supported

Ethereum was unable to keep pace with the $4,320- and $4,350 levels. ETH traded below the support level of $4,300 and began a downward correction.

A close was recorded below $4,300 as well as the 100 hourly simple moving mean. On the hourly chart for ETH/USD, it was also below a crucial bullish trend line, with support at $4,350. Below the 50% Fib level of the upward waves from $3,900 swing lows to $4,450 swing highs, the pair traded lower.

The price is showing some bearish signals below $4,200. Near the $4,180 level is an initial resistance to the upside. Near the $4,220 mark is the first significant resistance.

Ethereum Price

Source: TradingView.com ETHUSD

Near the $4,250 mark is the next hurdle. In the short term, a clear break or close to the $4250 level may signal a gradual increase. The price could even exceed the $4,300 resistance within the next few months in this scenario. Near the $4,450 mark is the next significant resistance.

Dips Limited to ETH

If the $4,250 mark is not reached, ethereum could continue its downward correction. Near the $4,080 mark is initial support. Support is currently forming at the $4,040 mark.

Near the $4,040 support area is the 76.4% Fib level that retraces the up-wave from the $3900 swing low and the $4,450 swing high. The price may suffer further losses if it breaks below $4,040. Lower than that support, the price can drop towards $3,800.

Technical Indicators

Hourly MACDThe MACD of ETH/USD continues to grow in the bearish area.

Hourly RSIThe RSI is lower than 50 for USD/ETH.

Major Support Level – $4,040

Major Resistance Level – $4,250

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