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Ethereum Price Prepares For The Next Move As Risk of Bounce Grows
Ethereum price failed to stay above $2,000 and corrected lower against the US Dollar. ETH could start a fresh rally if there is a move above $1,950.
Ethereum Price Could Restart Rally
Ethereum’s price rallied above the $1,970 resistance. ETH even climbed above $2,000 but failed to extend gains. A high was formed near $2,027 before there was a bearish reaction.
There was a move below the $1,950 support zone and the 100-hourly Simple Moving Average. The price even tested the $1,900 level. A low is formed near $1,900 and the price is now consolidating losses. It is trading near the 23.6% Fib retracement level downward move from the $2,027 swing high to the $1,900 low.
Ether is also trading below $1,950 and the 100-hourly Simple Moving Average. Besides, there is a key bearish trend line forming with resistance near $1,930 on the hourly chart of ETH/USD.
On the upside, immediate resistance is near the $1,930 level. The first major resistance is near the $1,950 zone, above which the price could rise toward the $1,975 resistance zone. It is close to the 61.8% Fib retracement level downward move from the $2,027 swing high to the $1,900 low.
Source: ETHUSD on TradingView.com
The next major resistance is near the $2,000 level. Any more gains could send Ether toward the $2,050 resistance or even $2,120.
More Losses in ETH?
If Ethereum fails to clear the $1,930 resistance, it could a fresh decline. Initial support on the downside is near the $1,920 level.
The first major support is near the $1,900 level, below which the price might gain bearish momentum. The next major support is near the $1,850 support level. Any more losses could send Ether toward the $1,825 support level in the near term.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – $1,900
Major Resistance Level – $1,950