Ethereum Initiates Bearish Wave from $1,660 Resistance
The price of Ethereum has started a downward trend after failing to surpass the resistance levels at $1,660 and $1,670. It has now fallen below the $1,630 support level, similar to Bitcoin.
Furthermore, it has also dropped below the $1,620 support level. However, there is still some bullish activity around the $1,600 level. A low point has been reached at around $1,606 and the price is currently consolidating its losses. It is trading near the 23.6% Fibonacci retracement level of the downward movement from the swing high of $1,659 to the low point of $1,606.
Resistance Levels to Watch
Ethereum is currently trading below both the $1,640 mark and the 100-hourly Simple Moving Average. On the hourly chart of ETH/USD, a significant bearish trend line is forming with resistance near $1,640.
If the price manages to move upwards, it might encounter resistance at around the $1,630 level and the 100-hourly Simple Moving Average. The next resistance lies near the $1,640 level and coincides with the trend line. This trend line is also close to the 61.8% Fibonacci retracement level of the downward movement from the swing high of $1,659 to the low point of $1,606.
What Lies Ahead for Ethereum?
If Ethereum fails to break through the resistance at $1,640, it could experience another decline. The initial support on the downside can be found near the $1,600 level.
A break below this support level might lead to an acceleration of losses. The next major support level is around $1,540, and if breached, the price could potentially test the $1,500 level. The following key support level lies at $1,440.
Technical Indicators
The MACD for ETH/USD on the hourly chart indicates a loss of momentum in the bearish zone. Additionally, the RSI for ETH/USD has dropped below the 50 level.
Source: ETHUSD on TradingView.com
Hot Take: Ethereum’s Price Struggles to Overcome Resistance Levels
Ethereum has faced significant resistance at the $1,660 mark and has started a downward movement. It is currently trading below key support levels and is struggling to break through resistance. If it fails to surpass the $1,640 mark, further losses may be expected. However, if it manages to overcome this resistance, the price could rally towards the $1,720 and $1,750 levels. Traders should closely monitor these levels to determine the future direction of Ethereum’s price.
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