Ethereum Price Struggles Badly – More Downside Risk if Support Fails
Ethereum price started a fresh recovery wave above the $4,350 zone but failed. ETH is still struggling and might slide below the $4,270 zone.
- Ethereum is still struggling to recover above the $4,400 zone.
- The price is trading below $4,350 and the 100-hourly Simple Moving Average.
- There was a break below a bullish trend line with support at $4,290 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a strong decline if it settles below the $4,220 level in the near term.
Ethereum Price Could Slide Further
Ethereum price started a recovery wave after it formed a base above the $4,220 zone, like Bitcoin. ETH price was able to climb above the $4,300 and $4,320 resistance levels before the bears appeared.
The price struggled to clear the $4,400 level. A high was formed at $4,383 and the price started to decline again. There was a move below the $4,320 support level. The price dipped below the 50% Fib retracement level of the recent increase from the $4,234 swing low to the $4,383 high.
Besides, there was a break below a bullish trend line with support at $4,290 on the hourly chart of ETH/USD. Ethereum price is now trading below $4,320 and the 100-hourly Simple Moving Average.
On the upside, the price could face resistance near the $4,320 level. The next key resistance is near the $4,360 level. The first major resistance is near the $4,400 level. A clear move above the $4,400 resistance might send the price toward the $4,440 resistance. An upside break above the $4,440 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $4,500 resistance zone or even $4,550 in the near term.
More Downside In ETH?
If Ethereum fails to clear the $4,360 resistance, it could start a fresh decline. Initial support on the downside is near the $4,270 level. The first major support sits near the $4,220 zone.
A clear move below the $4,220 support might push the price toward the $4,200 support. Any more losses might send the price toward the $4,160 support level in the near term. The next key support sits at $4,120.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $4,220
Major Resistance Level – $4,360
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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