Ethereum price started a fresh decline below the $1,920 level against the US Dollar. ETH could extend losses if there is a clear move below the $1,840 support.
- Ethereum is moving lower from the $1,940 resistance zone.
- The price is trading below $1,900 and the 100-hourly Simple Moving Average.
- There is a major bearish trend line forming with resistance near $1,900 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to move down if there is a clear move below $1,840.
Ethereum Price Takes Hit
Ethereum’s price struggled to clear the $2,000 resistance zone and started a fresh decline. ETH traded below the $1,920 and $1,900 support levels to enter a bearish zone, similar to Bitcoin.
The price even traded close to $1,840. A low is formed near $1,843 and the price is now consolidating losses. It is trading below $1,900 and the 100-hourly Simple Moving Average. There is also a major bearish trend line forming with resistance near $1,900 on the hourly chart of ETH/USD.
Immediate resistance is near the $1,890 level. It is close to the 50% Fib retracement level of the recent decline from the $1,936 high to the $1,843 low.
The next major resistance seems to be forming near the trend line and $1,900. The main resistance is near $1,915 or the 76.4% Fib retracement level of the recent decline from the $1,936 high to the $1,843 low. A close above the $1,915 resistance zone could send Ethereum toward the $1,940 resistance.
Source: ETHUSD on TradingView.com
Any more gains might start a decent increase toward the $2,000 resistance. In the stated case, the price may even rise toward the $2,050 resistance. The next key resistance is near $2,120.
More Losses in ETH?
If Ethereum fails to clear the $1,900 resistance, it could continue to move down. Initial support on the downside is near the $1,840 level or the recent low.
The next major support is near the $1,800 zone, below which ether price might drop toward the $1,740 support zone. Any more losses may perhaps take the price toward the $1,700 level in the near term.
Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,840
Major Resistance Level – $1,900
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Author: Aayush Jindal