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- Ethereum started a fresh decline below $2,350 and $2,320.
- The price is trading below $2,310 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance at $2,360 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair needs to break above the $2,360 resistance to initiate a short-term recovery wave.
Ethereum Price Begins Consolidation
Ethereum price failed to break the $2,450 resistance and started a fresh decline like Bitcoin. ETH traded below the $2,400 and $2,350 support levels to enter a bearish zone.
The price even dipped below the $2,320 level. A low was formed at $2,253 and the price is now consolidating its losses. There was a minor recovery wave above the $2,285 level. The price tested the 23.6% Fibonacci retracement level of the descending wave from the $2,466 high to $2,253 low.
Ethereum price is now trading below $2,310 and the 100 hourly simple moving average. On the upside, the price seems to be facing hurdles near the $2,300 level. There is also a descending channel forming with resistance at $2,300 on the hourly chart of ETH/USD.
The first major resistance is near the $2,340 level. The next key resistance is near $2,360 or the 50% Fibonacci retracement level of the downward wave from the $2,466 high to $2,253 low. There is also a major bearish trend line forming with resistance at $2,360 on the same chart.
An upside break above the $2,360 resistance could lead to more gains. In the indicated case, Ether could rise towards the $2,420 resistance zone in the near term. The next hurdle lies near the $2,465 level.
More losses for ETH?
If Ethereum fails to break the $2,360 resistance, it could start a fresh decline in the short term. The initial support on the downside is near $2,265. The first major support is near the $2,250 area.
A clear move below the $2,250 support could push the price towards $2,200. Any further losses could send the price towards the $2,150 support level in the near term. The next key support lies at $2,120.
Technical indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $2,250
Major Resistance Level – $2,300
