Ethereum price failed to clear the $3,750 resistance and cut gains. ETH is back at $3,350 and may struggle to start a fresh rally.
- Ethereum started a recent decline from the $3,750 zone.
- The price is trading below $3,550 and the 100-hour simple moving average.
- There was a break below a connecting bullish trend line with support at $3,675 on the hourly chart of ETH/USD (data feed by Kraken).
- The pair may struggle to initiate a fresh rise above the $3,450 resistance level.
The price of Ethereum fell by more than 8%
The price of Ethereum held steady above the $3,650 level and extended its upward trend Bitcoin. ETH gained momentum to move above the $3,680 and $3,700 resistance levels.
However, the bulls failed to push the price above the $3,750 resistance. A high was made at $3,742 and the price started a fresh decline. There was a clear move below $3,650 and $3,550. There was also a break below a connecting bullish trend line with support at $3,675 on the hourly chart of ETH/USD.
A low was made at $3,356 and the price is now consolidating below the 23.6% Fib retracement level of the recent decline from the $3,742 swing high to the $3,356 low.
Ethereum price is now trading below $3,550 and 100-hour simple moving average. On the upside, the price seems to be facing resistance near the $3,450 level. The first major resistance is near the $3,500 level. Key resistance is now forming near $3,550 or the 50% Fib retracement level of the recent decline from the $3,742 swing high to the $3,356 low.
A clear move above the $3,550 resistance could send the price towards the $3,650 resistance. An upside break above the $3,650 resistance could call for further gains in the coming sessions. In the mentioned case, Ether could move towards the $3,750 resistance zone or up to $3,880 in the near term.
More losses in ETH?
If Ethereum fails to clear the $3,450 resistance, it could initiate another decline. Initial support on the downside is near the $3,350 level. The first major support sits near $3,320.
A clear move below the $3,320 support could push the price towards the $3,250 support. Any further losses could send the price towards the $3,150 support level in the near term. The next major support sits at $3,120.
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 zone.
Main support level – $3,350
Key resistance level – $3,450
