Ethereum price declined below $2,000 before starting an upside correction against the US Dollar.
ETH price is still below $3,500 and the 55 simple moving average (4-hours).
There is a major bearish trend line forming with resistance near $3,000 on the 4-hours chart (data feed from Coinbase).
The pair must clear the main $3,000 resistance to start a fresh increase in the near term.
Ethereum price started an upside correction from the $1,750 zone against the US Dollar. ETH/USD is now approaching a key barrier near the $3,000 zone.
Ethereum Price Analysis
In the past few days, there were additional losses in ethereum below the $3,000 level against the US Dollar. ETH broke many supports near $2,800 to move into a bearish zone.
The price even broke the $2,500 support level and the 55 simple moving average (4-hours). The bears pushed the price below the $2,000 level and the price traded as low as $1,737. Recently, the price started an upside correction above the $2,000 level.
There was a break above a key bearish trend line with resistance near $2,200 on the 4-hours chart. The price climbed above the 50% Fib retracement level of the recent decline from the $3,010 swing high to $1,737 low.
The price even climbed above the $2,500 level. However, the price is now facing resistance near the $2,800 zone and the 55 simple moving average (4-hours). The 76.5% Fib retracement level of the recent decline from the $3,010 swing high to $1,737 low is acting as a barrier.
On the upside, there is a major resistance forming near the $3,000 level. There is also a major bearish trend line forming with resistance near $3,000 on the same chart.
A clear break above the trend line resistance could lead the price towards the next major resistance near the $3,600 level. On the downside, the $2,500 level is a decent support. The next major support may possibly be near the $2,200 level.
Looking at the chart, Ethereum price is clearly trading below the $2,800 level and the 55 simple moving average (4-hours). Overall, ether price must clear the main $3,000 resistance to start a fresh increase in the near term.
4 hours MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now above the 50 level.
Key Support Levels – $2,500, followed by the $2,200 zone.
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