Ethereum Struggles to Recover
Ethereum is currently facing difficulties in initiating a recovery wave from the $1,550 level. The price of ETH is trading below $1,585 and the 100-hourly Simple Moving Average, indicating bearish signs.
Resistance Levels
There are two bearish trend lines forming on the hourly chart of ETH/USD. These trend lines have resistance levels near $1,565 and $1,590 respectively.
Recovery Possibility
If the bulls manage to defend the $1,550 support zone, there is a possibility for a recovery wave to start.
Ethereum Price Faces Resistance
Ethereum has been unable to break out of its bearish zone below the $1,600 resistance level. It is currently consolidating above the $1,550 support level, similar to Bitcoin.
The recent low was around $1,542 before the price entered a consolidation phase. Although there was a brief spike above the 23.6% Fib retracement level, the upside movement was limited.
Ethereum is currently trading below $1,585 and the 100-hourly Simple Moving Average. On the hourly chart of ETH/USD, two bearish trend lines can be observed with resistance levels near $1,565 and $1,590 respectively.
Resistance Levels
On the upside, there may be resistance near the $1,565 level and the first trend line. The major resistance lies near the second trend line at $1,590 and also at the 100-hourly Simple Moving Average. The next significant resistance can be found at $1,600 or the 50% Fib retracement level.
Source: ETHUSD on TradingView.com
Potential Recovery Wave
A clear breakthrough above the $1,600 resistance level could trigger a short-term recovery wave for Ethereum. In this scenario, Ether might rise and recover towards the $1,665 resistance level. Further gains could potentially lead to a move towards $1,750.
Possibility of More Losses
If Ethereum fails to surpass the $1,600 resistance level, it may continue to decline. The initial support on the downside is near $1,550, followed by the key support at $1,540.
A break below the $1,540 support level could result in another significant decline. In such a case, the price of Ether might drop towards the $1,420 level. Further losses could potentially send it towards $1,350.
Technical Indicators
Hourly MACD: The MACD for ETH/USD is currently losing momentum in the bearish zone.
Hourly RSI: The RSI for ETH/USD has fallen below the 50 level.
Major Support Level: $1,540
Major Resistance Level: $1,600
Hot Take: Ethereum Struggles to Recover Amidst Bearish Trend
Ethereum is currently facing challenges in its attempt to recover from its recent decline. The price is trading below key resistance levels and showing bearish signs. It remains crucial for bulls to defend the support zone in order to initiate a potential recovery wave. However, if Ethereum fails to break above the resistance level, it may experience further losses. The next major support levels to watch out for are at $1,550 and $1,540. It is important for traders to monitor the technical indicators closely to assess the market sentiment and make informed trading decisions.
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