Ethereum Tumbles To $330: Here’s A Crucial Support Turned Resistance

Aayush Jindal

1 year ago

2 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

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 is down over 8% and it broke many key supports near $355 against the US Dollar. ETH price is currently consolidating losses and it is likely to face hurdles near $355 or $362.

Ethereum started a sharp decline from the $375 resistance and broke the $355 support.
The price is finding bids above $330, but it is now well below the 100 hourly simple moving average.
There is a short-term breakout pattern forming with resistance near $348 on the hourly chart of ETH/USD (data feed via Kraken).
The pair is likely to face a strong resistance near the $355 zone (support turned resistance).

Ethereum Price Turns Red

Yesterday, we discussed the chances of a fresh decline in Ethereum if it fails to clear $375 and $380. ETH price struggled to clear the $375 resistance zone, resulting in a sharp bearish reaction.

The decline was initiated after there was a break below key declining channel with support at $365 on the hourly chart of ETH/USD. Ether price accelerated its decline below the main $355 support level and the 100 hourly simple moving average.

It is down over 8% and a new weekly low is formed near $331. Ethereum is currently correcting higher and trading above the $340 level. There was a break above the 23.6% Fib retracement level of the recent decline from the $375 high to $331 low.

Ethereum price dives below $355. Source: TradingView.com

It seems like there is a short-term breakout pattern forming with resistance near $348 on the same chart. If there is an upside correction above the $348 level, ether could face a strong selling interest near the $355 zone (support turned resistance).

The 50% Fib retracement level of the recent decline from the $375 high to $331 low is also near $353 to act as a resistance. The next major hurdle is seen near the $365 level or the 100 hourly SMA.

More Losses in ETH?

If Ethereum fails to recover above the triangle resistance of the $355 hurdle, there is a risk of more losses. An initial support is near the triangle support at $341.

A downside break below the triangle support could lead the price back towards the $330 swing low. The next major support for the bulls is near the $320 level, below which it could retest the $310 level.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is slowly moving in the bullish zone.

Hourly RSI – The RSI for ETH/USD is correcting higher towards the 50 level.

Major Support Level – $330

Major Resistance Level – $355

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

In addition to his roles in finance and technology, Aayush serves as the director of a prestigious IT company, where he spearheads initiatives aimed at driving digital innovation and transformation. Under his visionary leadership, the company has flourished, cementing its position as a leader in the tech industry and paving the way for groundbreaking advancements in software development and IT solutions.

Despite his demanding professional commitments, Aayush is a firm believer in the importance of work-life balance. An avid traveler and adventurer, he finds solace in exploring new destinations, immersing himself in different cultures, and forging lasting memories along the way. Whether he's trekking through the Himalayas, diving in the azure waters of the Maldives, or experiencing the vibrant energy of bustling metropolises, Aayush embraces every opportunity to broaden his horizons and create unforgettable experiences.

Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.