Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Ethereum started a sharp decline from well above $650 against the US Dollar. ETH price settled below the key $635 support zone, which may now act as a resistance in the near term.
- Ethereum started a fresh decline and traded below the $620 and $630 support levels.
- The price is now trading well below $630 and the 100 hourly simple moving average.
- There is a major bearish trend line forming with resistance near $633 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could correct higher, but it is likely to face sellers near $630 and $635.
Ethereum Price is Holding the $600 Support
After another rejection near $670, Ethereum started a downward move similar to bitcoin. ETH broke the $650 support level to start the current decline. There was a clear break below the $620 and $630 support levels.
It opened the doors for more downsides below $610. Ether even spiked below the $600 support level and settled well below the 100 hourly simple moving average. A low is formed near the $597 level and the price is currently consolidating losses.
It recovered above the $610 level, and the 23.6% Fib retracement level of the recent decline from the $648 swing high to $597 low. An initial resistance on the upside is near the $620 and $622 levels.
Source: ETHUSD on TradingView.com
The 50% Fib retracement level of the recent decline from the $648 swing high to $597 low is also near $622. The main resistance is now forming near the $630 zone and the 100 hourly simple moving average. There is also a major bearish trend line forming with resistance near $633 on the hourly chart of ETH/USD.
A clear break above the $630 and $635 resistance levels is must to decrease the current bearish pressure. In the stated case, the price could easily recover towards the $650 and $660 levels.
More Downsides in ETH?
If ethereum struggles to surpass the $622 and $630 resistance levels, it could continue to move down. An initial support on the downside is near the $605 level.
The first major support is near the $600 level. A close below the $600 and $595 support levels might open the doors for a larger decline towards the $580 and $575 levels in the near term.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is slowly losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is currently just above the 45 level.
Major Support Level – $600
Major Resistance Level – $635
