ethereum price took a big hit like bitcoin and dropped more than $350. eth tested the $2,000 support and is currently attempting a new rise.
- ethereum fell over 8% and broke the $2,200 support zone.
- The price is trading below $2300 and the 100 hourly simple moving average.
- There was a break below a key uptrend line with support near $2,340 on the hourly chart of eth/USD (data via Kraken).
- The pair could rise again unless it closes below the $2,100 support zone.
ethereum price took a big hit
ethereum price rose further above the $2,300 level. eth even surpassed the $2,350 level but bears remained active near the $2,400 zone. A high was formed near $2,401 and there was a sharp drop like bitcoin.
The price fell over 8% and there was a move below the $2,200 level. Additionally, there was a break below a key uptrend line with support near $2,340 on the hourly chart of eth/USD. The pair even spiked below the $2,000 support before the bulls emerged.
A low was formed near $1,980 and the price is now attempting a recovery wave. There was a move above the $2,150 and $2,180 levels. The price rose above the 50% Fibonacci retracement level of the downward move from the high of $2,401 to the low of $1,980.
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Fountain: ETHUSD on TradingView.com
On the upside, the price is facing resistance near the $2,275 zone. The next key resistance is near the $2,300 level or the 76.4% Fibonacci retracement level of the downward move from the $2,401 high to the $1,980 low. A clear move above the $2,300 zone could send the price towards the $2,400 level. The next resistance is located at $2,450. Any further gains could start a wave towards the $2,500 level.
Another drop in eth?
If ethereum fails to overcome the $2,300 resistance, it could start another decline. Initial support on the downside is near the $2,180 level.
The next key support is $2,120. The main support is now near $2,100. A downside break below $2200 could start a prolonged decline. Key support is now at $2,000, below which there is a risk of a move towards the $1,880 level in the near term.
Technical Indicators
MACD hourly – The MACD for eth/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for eth/USD is now below the 30 level.
Main Support Level: $2,100
Main resistance level: $2,300
