Ethereum price corrected gains and traded below $1,880 against the US Dollar. ETH is holding the $1,850 support and might aim for a fresh increase.
- Ethereum started a downside correction from the $1,925 resistance zone.
- The price is trading above $1,850 and the 100-hourly Simple Moving Average.
- There is a connecting bearish trend line forming with resistance near $1,880 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could rise again if it stays above the $1,860 and $1,850 support levels.
Ethereum Price Holds Key Support
Ethereum’s price failed to gain pace above the $1,925 resistance zone. ETH started a downside correction and traded below the $1,880 support zone, but downsides were limited compared to Bitcoin.
The price tested the $1,850 support zone and the 100-hourly Simple Moving Average. A low is formed near $1,854 and the price is now consolidating losses. It is slowly moving higher and trading above the $1,870 level. There was a break above the 23.6% Fib retracement level of the recent decline from the $1,925 swing high to the $1,854 low.
Ether’s price is now trading above $1,850 and the 100-hourly Simple Moving Average. On the upside, the price is facing resistance near the $1,880 level. There is also a connecting bearish trend line forming with resistance near $1,880 on the hourly chart of ETH/USD.
The next major resistance is near the $1,900 zone. It coincides with the 61.8% Fib retracement level of the recent decline from the $1,925 swing high to the $1,854 low.
Source: ETHUSD on TradingView.com
A clear move above the $1,900 resistance zone might send the price toward the $1,925 resistance. The next major resistance might be $2,000. Any more gains could set the pace for a test of the $2,120 resistance.
More Losses in ETH?
If Ethereum fails to clear the $1,880 resistance, it could continue to move down. Initial support on the downside is near the $1,860 level.
The next major support is near the $1,850 zone, below which ether price might decline toward the $1,800 level. The next key support is near the $1,770 zone. If there is a break below $1,770, the price might extend its decline toward $1,700.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now near the 50 level.
Major Support Level – $1,850
Major Resistance Level – $1,880