- Ethereum price suffered losses this past week and it looks like there may be more declines in ETH moving ahead.
- There is a bearish trend line formed on the 4-hours chart of Ethereum price (data feed via Kraken), which might act as a resistance if the price attempts to correct higher.
- A short term support is at $9.60, which if breached may open the doors for further downsides.
Ethereum price struggled this past week. If ETH/USD bears remain in control a break of $9.60 support area is possible in the near term.
Ethereum Price – Sell Rallies?
Ethereum price declined continuously this past week and every time the bulls attempted to take ETHUSD higher there were offers on the upside. It looks like ETH bears are in control and if the bulls fail to step up the momentum, there are chances of more declines. There is a bearish trend line formed on the 4-hours chart of Ethereum price (data feed via Kraken), which prevented the upside move on more than two occasions.
The most important point is that the price broke a major support area of $10.20-50 this past week, which may now act as a resistance area if ETHUSD moves higher. An initial resistance on the upside is around the 23.6% Fib retracement level of the last drop from the $12.10 high to $9.59 low. One may consider selling near the $10.20-50 area with a stop above the trend line and resistance area.
On the downside, a break of the $9.59 low could take the price towards the $8.50-00 support area, which may be the next hurdle for sellers.
4-hours MACD – The MACD may change the slope to bullish, signaling a correction in the short term.
4-hours RSI – The RSI is below the 50 level, which is a bearish sign.
Intraday Support Level – $9.60
Intraday Resistance Level – $10.50
Charts courtesy of Kraken via Trading View