- Ethereum price started a fresh decline from the $3,200 resistance against the US Dollar.
- ETH price is now trading below $2,800 and the 55 simple moving average (4-hours).
- There is a major bearish trend line forming with resistance near $2,500 on the 4-hours chart (data feed from Coinbase).
- The pair could continue to move down below the $2,200 support zone.
Ethereum price is struggling below $2,500 against the US Dollar. ETH/USD remains at a risk of a sharp decline if there is a clear break below $2,200.
Ethereum Price Analysis
Recently, ethereum saw a fresh decline from the $3,200 zone against the US Dollar. ETH price formed a high near the $3,271 level and started a fresh decline.
There was a move below the $3,000 and $2,800 support levels. The bears gained strength for a move below the $2,500 level. The price traded as low as $2,159 and settled below the 55 simple moving average (4-hours). It is now correcting higher and trading above $2,300.
There was a move above the 23.6% Fib retracement level of the downward move from the $3,271 swing high to $2,159 low. On the upside, the price is facing resistance near the $2,450 level.
The first major resistance is now forming near the $2,500 level. There is also a major bearish trend line forming with resistance near $2,500 on the 4-hours chart. A close above the $2,500 level could start a decent increase. The next major stop for the bulls could be near the $2,700 level.
It is near the 50% Fib retracement level of the downward move from the $3,271 swing high to $2,159 low. If there is no upside break above $2,500, the price could move down.
An immediate support on the downside is near the $2,350 level. The next major support is now near the $2,200 level. A break below the $2,200 support could push the price to $2,050. Any more losses could lead the price towards $2,000. The next major support is near the $1,820, where the bulls might take a stand.
Looking at the chart, Ethereum price is clearly trading below the $2,800 zone and the 55 simple moving average (4-hours). Overall, ether price could continue to move down below the $2,200 support zone.
Technical indicators
4 hours MACD – The MACD for ETH/USD is slowly losing momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now below the 50 level.
Key Support Levels – $2,320, followed by the $2,200 zone.
Key Resistance$ Levels – $2,500 and $2,700.
