Ethereum price is struggling to break above the $1,850 and $1,880 resistance levels against the US Dollar. ETH could start a decent rise unless there is a close below $1,800.
- Ethereum is currently moving lower from the $1,880 resistance zone.
- The price is trading below $1,850 and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance near $1,840 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could start a decent rally if there is a move above the $1,840 and $1,880 resistance levels.
Ethereum Price Faces Hurdles
Ethereum price attempted a decent rally above the $1850 resistance zone. However, ETH faced strong rejection near the $1880 zone, similar to Bitcoin.
The price fell sharply below the $1,850 level. It traded as low as $1,792 before recovering to $1,865. A high is formed near $1,865 and the price is now moving lower. It traded below the 50% Fibonacci retracement level of the up move from the $1,792 low to $1,865 high.
Ether is now trading below $1,850 and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $1,840 on the hourly chart of ETH/USD.
Fountain: ETHUSD on TradingView.com
Immediate resistance is near the $1,835 level. The next resistance lies near $1,840, above which Ethereum could test the 100 hourly simple moving average. The main resistance is now forming near the $1,880 level. A close above the $1880 resistance zone could initiate a decent rally towards the $1920 resistance. More gains could send the price towards the $1,975 resistance.
ETH break down?
If Ethereum fails to clear the resistance at $1840, it could continue lower. Initial support on the downside is near the $1,820 level or the 61.8% Fibonacci retracement level of the up move from the $1,792 low to $1,865 high.
The next big support is near the $1,800 zone. If there is a break down and a close below $1,800, the price could drop considerably. In the indicated case, the price could fall towards the support zone of $1,740. Any further losses could send the price looking towards the $1,650 level in the near term.
technical indicators
MACD per hour – The MACD for ETH/USD is now gaining momentum in the bearish zone.
RSI per hour – The RSI for ETH/USD is below the 50 level.
Major Support Level: $1,800
Highest Resistance Level: $1,840
