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 price found support near $1,540 against the US Dollar. ETH is consolidating losses and might attempt a recovery wave above $1,580.
- Ethereum started a major decline below the $1,620 zone.
- The price is trading below $1,600 and the 100 hourly simple moving average.
- There is a key contracting triangle forming with resistance near $1,570 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could correct higher, but upsides might be limited above the $1,600 level.
Ethereum Price Faces Resistance
Ethereum price found support near the $1,540 zone after a major decline. ETH traded as low as $1,542 and recently started a consolidation phase, similar to bitcoin.
There was a minor increase above the $1,560. The price spiked above the 50% Fib retracement level of the downward wave from the $1,677 swing high to $1,542 low. However, ether price is still trading below $1,600 and the 100 hourly simple moving average.
There is also a key contracting triangle forming with resistance near $1,570 on the hourly chart of ETH/USD. On the upside, the price is facing resistance near the $1,570 zone.
The first major resistance is near the $1,580 zone. The next major resistance is near the $1,600 level. It is near the 50% Fib retracement level of the downward wave from the $1,677 swing high to $1,542 low, above which the price might rise steadily. The next major resistance is near the $1,640 zone.
Source: ETHUSD on TradingView.com
A close above the $1,640 resistance zone might start a fresh rally. In this case, the price may perhaps rise towards the $1,670 level.
Fresh Decline in ETH?
If ethereum fails to clear the $1,580 resistance, it could continue to move down. An initial support on the downside is near the $1,550 level.
The next major support is near the $1,540 zone. If there is a break below $1,540, the price might retest $1,500. Any more losses might call for a test of the $1,420 level.
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 below the 50 level.
Major Support Level – $1,540
Major Resistance Level – $1,580
