Ethereum Price Declines: Will Bulls Take Advantage of the Opportunity?
Ethereum price has started to dip after reaching the $3,150 mark. Despite the decline, ETH is holding onto its gains and there is potential for another uptrend starting from the $3,000 support level.
- Ethereum began a downside correction after encountering resistance at $3,150.
- The price is currently trading above $3,000 and the 100-hourly Simple Moving Average.
- A bearish trend line is forming with resistance at $3,080 on the hourly chart of ETH/USD (data feed via Kraken).
- Unless the price closes below the $3,000 support, a fresh increase may be on the horizon.
Ethereum Price Holds Steady
Similar to Bitcoin, Ethereum experienced gains after solidifying its position above the $3,000 level. ETH even surpassed $3,050 before encountering resistance near $3,150. This led to the formation of a new weekly high at $3,144, followed by a dip.
The price dropped below the $3,100 level, breaching the 23.6% Fib retracement level of the upward move from the $2,927 swing low to the $3,144 high.
Ethereum is currently trading above $3,000 and the 100-hourly Simple Moving Average. The bulls are actively protecting the $3,065 support and the 50% Fib retracement level of the upward move from the $2,927 swing low to the $3,144 high.
Immediate resistance is located near the $3,080 level. Additionally, a bearish trend line is forming with resistance at $3,080 on the hourly chart of ETH/USD. The first major resistance lies near $3,150. Breaking above this level could potentially propel the price higher.
The next significant resistance is positioned at $3,200, potentially leading to a rise towards the $3,250 mark. If the price surpasses the $3,250 level, it could test the $3,320 resistance. Further gains may push Ether towards the $3,500 resistance zone.
Possibility of Further Losses in ETH?
If Ethereum fails to overcome the $3,080 resistance and the trend line, it may continue to decline. Initial support on the downside can be found near the $3,065 level.
The next substantial support exists near the $3,000 zone. A clear push below the $3,000 mark might drive the price towards $2,980. Further losses could lead the price towards the $2,860 level in the near future.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is showing declining momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $3,000
Major Resistance Level – $3,080