Ethereum price started a downward correction below $1,950 against the US Dollar. ETH is testing the $1,900 support and is showing some bearish signs.
- Ethereum is correcting gains below the $1,950 zone.
- The price is trading below $1,940 and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance near $1,925 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start another rally unless there is a close below $1,900 any time soon.
Ethereum price corrects gains
Ethereum price failed to clear the resistance at $1975 and began a downward correction. ETH traded below the $1950 level and extended its decline, similar to Bitcoin.
There was a move below the $1,920 support. Ultimately, the price shot below $1,900. A low is formed near $1,894 and the price is now consolidating losses. It is now trading near the 23.6% Fibonacci retracement level of the recent drop from the $1,974 high to $1,894 low.
Ether is trading below $1,940 and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $1,925 on the hourly chart of ETH/USD.
Immediate resistance is near the $1,925 level, the 100 hourly simple moving average. The next major resistance is near the $1,945 level. It is close to the 61.8% Fibonacci retracement level of the recent drop from the $1,974 high to $1,894 low.
Fountain: ETHUSD on TradingView.com
A clear move above the $1945 resistance could push the price towards $1975. The main resistance is still near the $2,000 level, above which the price could start a decent rally. The next major resistance is near the $2,120 level. Further gains could send Ether towards the $2,200 resistance.
More losses in ETH?
If Ethereum fails to clear the resistance at $1925 or $1945, it could continue lower. Initial support on the downside is near the $1,900 level.
The first major support is near the $1,870 level. The next big support is near the $1,820 level. If there is a move below the $1820 support, the price could drop towards the $1770 support level.
technical indicators
MACD per hour – The MACD for ETH/USD is losing momentum in the bearish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major Support Level: $1,900
Highest Resistance Level: $1,945
