- Ethereum price started a fresh decline from well above $2,400 against the US Dollar.
- ETH price is currently trading well below $2,275 and the 55 simple moving average (4-hours).
- There was a break below a major contracting triangle with support near $2,275 on the 4-hours chart (data feed from Coinbase).
- The pair is likely to find a strong buying interest near the $2,000 and $1,930 levels.
Ethereum price is correcting gains below $2,300 against the US Dollar. ETH/USD could decline heavily if there is a daily close below the $2,000 support zone.
Ethereum Price Analysis
There was an upside break in Ethereum above the $2,400 level against the US Dollar. However, ETH failed to test the $2,550 resistance zone. A high was formed near $2,548 before the price started a fresh decline.
The price broke many supports near the $2,300 and $2,275 levels. There was also a break below a major contracting triangle with support near $2,275 on the 4-hours chart. It is currently trading well below $2,275 and the 55 simple moving average (4-hours).
ETH tested the $2,000 support and started a recovery wave. It climbed above the $2,150 and $2,200 levels. There was a break above the 23.6% Fib retracement level of the downward move from the $2,548 high to $2,000 low.
However, the price is facing a strong resistance near the $2,275 and $2,300 levels. It failed to clear the 55 simple moving average (4-hours). The 50% Fib retracement level of the downward move from the $2,548 high to $2,000 low is also acting as a resistance.
It is sliding again and trading below $2,150. An immediate support is near the $2,050 level. The main support is near the $2,000 level. If there is a daily close below the $2,000 level, there is a risk of a sharp decline in the coming sessions.
Conversely, the price might start a fresh increase above the $2,275 resistance zone. The next key resistance is near the $2,400 level.
Looking at the chart, Ethereum price is clearly trading well below the $2,300 level and the 55 simple moving average (4-hours). Overall, ether price is likely to find a strong buying interest near the $2,000 and $1,930 levels.
Technical indicators
4 hours MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now well below the 50 level.
Key Support Levels – $2,050, followed by the $2,000 zone.
Key Resistance Levels – $2,200 and $2,275.