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HomeAltcoin NewsEthereum Price Analysis: ETH Tumbles, Risk of Additional Losses

Ethereum Price Analysis: ETH Tumbles, Risk of Additional Losses

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  • Ethereum price is sliding heavily and recently tumbled below $140 against the US Dollar.
  • ETH price is showing a lot of bearish signs below $138 and $135.
  • There is a crucial bearish trend line forming with resistance near $138 on the 4-hours chart (data feed from Coinbase).
  • The price remains at a risk of further losses below the $130 support level in the near term.

Ethereum price is down and out below $135 against the US Dollar. ETH/USD is likely to continue lower as long as it is below the $138-$140 resistance area.

Ethereum Price Analysis

After a failed attempt to surpass the $146 resistance, Ethereum price started a fresh decline against the US Dollar. ETH declined heavily below $140, $138, and the 55 simple moving average (4-hours).

The bears gained pace below the $135 support. As a result, there was a spike below the $130 support area. A new monthly low was formed near the $129 level. It is currently consolidating losses above the $129 and $130 levels.

Besides, it is testing the 23.6% Fib retracement level of the recent drop from the $144 swing high to $129 low. If there is a recovery above the $133 level, the price could test the $135-$136 resistance area.

More importantly, there is a crucial bearish trend line forming with resistance near $138 on the 4-hours chart. The main hurdle is now near the $140 zone, which acted as a support this past week.

Additionally, the 50% Fib retracement level of the recent drop from the $144 swing high to $129 low is near the $138 level. Therefore, the price must recover above many hurdles near $136, $138 and $140 to start an upward move.

On the other hand, the price is likely to struggle near $136 or $138. In this case, the bears are likely to aim a fresh decline below the $130 support area.

A clear break below the $130 zone could set the pace for a sharp decline. The next support is seen near the $124 area, where the bulls are likely to emerge.

Ethereum Price
Ethereum Price

Looking at the chart, Ethereum price is trading in a nasty downtrend below the $138 and $136 levels. Hence, there remains a risk of further losses below the $130 support level in the near term.

Technical indicators

4 hours MACD – The MACD for ETH/USD is moving heavily in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now in the oversold region near the 20 level.

Key Support Levels – $130, followed by the $124 zone.

Key Resistance Levels – $138 and $140.

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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