ethereum price fell and soared below $2,000 on Kraken. eth is now recovering above the $2,200 level, but the bears could be active near $2,300.
- ethereum started a major decline and fell below the $2200 support.
- The price is trading below $2300 and the 100 hourly simple moving average.
- A connecting bearish trend line is forming with resistance near $2,300 on the hourly chart of eth/USD (data feed via Kraken).
- The pair could continue rising if there is a clear move above USD 2,290 and USD 2,300.
ethereum price plummets
ethereum price struggled to settle above the $2,400 resistance zone. eth also started a major decline like bitcoin and broke the $2,200 support zone.
There was a sharp drop and the price even spiked below the $2,000 support zone. A new yearly low was formed near $1,860 and the price is now recovering from the losses. There was a decent rise above the $2,000 and $2,080 resistance levels.
The price rose above the 50% Fibonacci retracement level of the downward move from the high of $2,430 to the low of $1,860. However, ethereum is still below $2,300 and the 100 hourly simple moving average.
On the upside, the price is facing resistance near the $2,290 level. The first major resistance is now near $2,300. There is also a connecting bearish trend line forming with resistance near $2,300 on the hourly chart of eth/USD. The trend line is near the 76.4% Fibonacci retracement level of the downward move from the high of $2,430 to the low of $1,860.
<img decoding="async" class="alignnone size-full wp-image-567961" src="https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461″ alt=”ethereum Price” width=”1024″ height=”461″ srcset=”https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=1835 1835w, https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=460 460w, https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=768 768w, https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=860 860w, https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=1536 1536w, https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=750 750w, https://www.newsbtc.com/wp-content/uploads/2024/01/ethereum-3.png?resize=1024%2C461?w=1140 1140w” sizes=”(max-width: 1000px) 100vw, 1000px” loading=”lazy” data-recalc-dims=”1″/>
Fountain: ETHUSD on TradingView.com
A close above the $2,300 resistance could send the price towards $2,400. The next key resistance is near $2,440. If there is a clear move above $2,400, there could be a trend towards $2,500. The next resistance lies at $2,500, above which ethereum could rally and test the $2,620 area.
New drop in eth?
If ethereum fails to overcome the $2,300 resistance, it could start a new decline. Initial support on the downside is near the $2200 level.
The first key support could be the $2,080 area. A break lower and close below $2,080 could start another steady decline. In the given case, Ether could test the $2,000 support. Any further losses could send the price towards the $1,860 level.
Technical Indicators
MACD hourly – The MACD for eth/USD is regaining momentum in the bullish zone.
Hourly RSI – The RSI for eth/USD is now above the 50 level.
Main Support Level: $2,180
Main resistance level: $2,300
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