Ethereum Price Grinds Lower But Key Support Is Still Intact
Ethereum price corrected lower from the $1,670 resistance against the US Dollar. ETH could take a major hit if it breaks the $1,600 support.
Ethereum started a bearish wave from the $1,660 resistance.
The price is trading below $1,640 and the 100-hourly Simple Moving Average.
There is a key bearish trend line forming with resistance near $1,640 on the hourly chart of ETH/USD (data feed via Kraken).
The pair must stay above the $1,600 support zone to start another increase in the short term.
Ethereum Price Slides Further
Ethereum’s price failed to clear the $1,660 and $1,670 resistance levels. As a result, ETH started another decline and traded below the $1,630 support, like Bitcoin.
The price moved below the $1,620 support as well. However, the bulls are active near the $1,600 level. A low is formed near $1,606 and the price is now consolidating losses. It is trading near the 23.6% Fib retracement level of the downward move from the $1,659 swing high to the $1,606 low.
Ether is now trading below $1,640 and the 100-hourly Simple Moving Average. There is also a key bearish trend line forming with resistance near $1,640 on the hourly chart of ETH/USD.
On the upside, the price might face resistance near the $1,630 level and the 100-hourly Simple Moving Average. The next resistance is near the $1,640 level and the trend line. The trend line is also near the 61.8% Fib retracement level of the downward move from the $1,659 swing high to the $1,606 low.
Source: ETHUSD on TradingView.com
The main resistance is now forming near $1,660. A close above the $1,660 resistance might send the price toward the $1,720 resistance. The next major barrier is near the $1,750 level. A close above the $1,750 level might send Ethereum further higher toward $1,820.
More Losses in ETH?
If Ethereum fails to clear the $1,640 resistance, it could start another decline. Initial support on the downside is near the $1,600 level.
A downside break below $1,600 might accelerate losses. The next key support is close to $1,540, below which the price could even test the $1,500 level. The next key support is $1,440.
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 level.
Major Support Level – $1,600
Major Resistance Level – $1,640
Filed under: Bitcoin - @ September 21, 2023 4:36 am