Key Highlights
- ETH price started a new downside wave and moved below the $1,000 support against the US Dollar.
- There was a break below a connecting bullish trend line with support at $1,120 on the hourly chart of ETH/USD (data feed via SimpleFX).
- The pair is now trading well below the $1,000 level and it has moved into the bearish zone.
Ethereum price made a U-turn against the US Dollar and traded higher against Bitcoin. ETH/USD is likely to trade further lower with resistance at $1,025.
Ethereum Price Resistance
There was a sudden increase in selling pressure on ETH price, which took it below the $1,000 support against the US Dollar. The downside move was initiated from the $1,150 swing high and the price moved below the $1,100 and $1,025 support levels. During the downside, there was a break below a connecting bullish trend line with support at $1,120 on the hourly chart of ETH/USD. It traded as low as $942 recently and it looks set for more declines in the near term.
An initial resistance is around the 23.6% Fib retracement level of the last decline from the $1,150 high to $942 low. However, the most important resistance is around the $1,025 level. The mentioned $1,025 level was a support earlier and it may now act as a resistance. Moreover, the 38.2% Fib retracement level of the last decline from the $1,150 high to $942 low is also around $1,025. Above the $1,025 level, the next hurdle is at $1,046. It is the 50% Fib retracement level of the last decline from the $1,150 high to $942 low.
On the downside, the recent low of $942 is a short term support. A break below $942 could ignite further declines toward $900 in the near term.
Hourly MACD – The MACD is gaining momentum in the bearish zone.
Hourly RSI – The RSI is currently around the 35 level and is showing bearish signs.
Major Support Level – $940
Major Resistance Level – $1,025
Charts courtesy – SimpleFX
