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HomeAltcoin NewsEthereum Price Analysis: ETH Could Struggle Near $3,400

Ethereum Price Analysis: ETH Could Struggle Near $3,400

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  • Ethereum price started a major decline from the $4,000 resistance against the US Dollar.
  • ETH price is now trading below $3,500 and the 55 simple moving average (4-hours).
  • There is a key declining channel forming with resistance near $3,400 on the 4-hours chart (data feed from Coinbase).
  • The pair could extend its decline unless there is a clear break above the $3,400 resistance.

Ethereum price is showing bearish signs below $3,500 against the US Dollar. ETH/USD could accelerate further lower if it breaks the $3,150 support zone.

Ethereum Price Analysis

In the past few days, ethereum saw a major decline from the $4,000 resistance against the US Dollar. ETH price broke the $3,500 support zone and the 55 simple moving average (4-hours).

The price even traded below the $3,400 and $3,300 levels. Finally, the price spiked below the $3,150 support level. The recent low was formed near $3,111 before the price started an upside correction. It broke the $3,200 resistance level.

There was a move above the 50% Fib retracement level of the recent decline from the $3,472 swing high to $3,111 swing low. ETH is now trading below $3,500 and the 55 simple moving average (4-hours).

An immediate resistance is near the $3,335 level. It is close to the 61.8% Fib retracement level of the recent decline from the $3,472 swing high to $3,111 swing low. There is also a key declining channel forming with resistance near $3,400 on the 4-hours chart.

The next major resistance is near the $3,500 zone and the 55 simple moving average (4-hours). A close above the $3,500 level could open the doors for a fresh increase.

An immediate support is near the $3,200 level. The main support is now near the $3,150 level. If there is a downside break below the $3,150 support, the price could test $3,050. Any more losses could lead the price towards $2,800.

Ethereum Price
Ethereum Price

Looking at the chart, Ethereum price is clearly trading well below the $3,500 zone and the 55 simple moving average (4-hours). Overall, ether price could extend its decline unless there is a clear break above the $3,400 resistance.

Technical indicators

4 hours MACD – The MACD for ETH/USD is slowly losing momentum in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is still below the 50 level.

Key Support Levels – $3,150, followed by the $3,050 zone.

Key Resistance Levels – $3,400 and $3,500.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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