Ethereum Takes Hit, Why $1,400 Could Spark A Fresh Increase

Below the $1,500 level against the US Dollar Ethereum experienced bearish momentum. To start a wave of recovery, ETH should remain above $1,400

  • Ethereum continued to trade in bearish territory and suffered losses of $1,500.
  • The 100-hourly simple moving average and price are now below $1500.
  • On the hourly chart for ETH/USD, there is a bearish trendline that forms with resistance at $1,460 (data feed via Kraken).
  • If the pair does not move above $1,400 support, it could begin a recovery wave.

Ethereum’s Price Drops

Ethereum did not recover from losses to trade at the $1.550 level. ETH suffered another setback and fell below the $1,500 level.

This opened up the possibility of a dramatic decline to below $1,450. Even the $1,400 support area was tested by the Ether price. It has now fallen to $1,402 near the low and is consolidating its losses. It trades below $1,500 as well as the simple 100-hour moving average.

The $1,440 level is the immediate resistance. It is located near the $1.450 area. The 23.6% Fib Retracement Level of the Downward Move from the $1.662 swing high and $1.402 low is at its nearest.

On the hourly chart for ETH/USD, there is a bearish trend line that forms with resistance at $1,460. If the price moves above this trend resistance, it could push the price to the $1500 mark. Next major resistance is likely to be at $1,550

Ethereum Price

Source: TradingView.com ETHUSD

This is just below the 50% Fib Retracement level for the downward movement from $1.662 swing high, to $1.402 low. It is currently nearing the $1,550 area. An increase of at least $1,550 could be possible.

Are There More Losses in Ethereum?

It could fall further if it fails to climb above $1,460. The $1,400 area is the initial support for the downside.

Price could move towards $1,375 support zone if it moves clearly below the $1.400 support. Losses of any kind could even cause the price to drop below $1,400 support.

Technical indicators

Hourly MACDMACD of ETH/USD has lost momentum and is currently in the bearish zone.

Hourly RSIThe RSI is well below the 50 mark for USD/ETH.

Major Support Level – $1,400

Major Resistance Level – $1,460

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