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Ethereum Price Resumes Downtrend As Bears Aim $1,500
Ethereum price is showing bearish signs below $1,700 against the US Dollar. ETH could continue to move down below the $1,600 level.
Ethereum Price Dives 5%
Ethereum’s price failed to gain pace for a move above the $1,780 resistance. ETH reacted to the downside below the $1,720 support after the Fed interest rate decision, similar to Bitcoin.
There was a clear move below the $1,700 and $1,640 support levels. The price declined over 5% and traded close to $1,630. A low is formed near $1,630 and the price is now consolidating losses. It is trading below $1,700 and the 100-hourly Simple Moving Average.
There is also a key bearish trend line forming with resistance near $1,740 on the hourly chart of ETH/USD. Immediate resistance is near the $1,660 level or the 23.6% Fib retracement level of the recent drop from the $1,749 swing high to the $1,630 low.
The next major resistance is near the $1,680 level. The first major resistance is near $1,700 or the 61.8% Fib retracement level of the recent drop from the $1,749 swing high to the $1,630 low. A proper move above the $1,680 and $1,700 resistance levels might start a steady recovery wave.
Source: ETHUSD on TradingView.com
The next resistance sits near $1,740 and the trend line, above which Ethereum could rise toward the $1,780 level. Any more gains above the $1,780 resistance zone might send the price toward the $1,850 resistance.
More Losses in ETH?
If Ethereum fails to clear the $1,700 resistance, it could continue to move down. Initial support on the downside is near the $1,630 level and the recent low.
The next major support is near the $1,600 level. If there is a break and close below the $1,600 support, the price could accelerate lower toward the $1,550 support. Any more losses may perhaps send the price toward the $1,500 zone.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,600
Major Resistance Level – $1,700