Under $2,800 against the US dollar, the Ethereum price is getting bearish momentum. The ETH/USD pair remains vulnerable to further declines below the $2,445 mark.
- The price of Ethereum against the US dollar has begun a new drop after rising beyond $3,000 a while back.
- The price of ETH has fallen below $2,800 and the SMA 55. (4-hours).
- On the 4-hours chart, a significant negative trend line is forming with resistance at $2,590. (data feed from Coinbase).
- If it fails to hold above the $2,445 support level, the pair's price could continue to fall.
Analysis of the Ethereum Price
From above the $2,880 barrier against the US Dollar, ethereum has recently seen a significant bearish movement. The price of ETH fell below the $2,750 support level and the 55-period SMA (4-hours).
The bears have acquired steam in preparation for a drop below $2,620. Even as low as $2,445 was traded, the price had fallen below the support level of $2,500. Losses have been contained and it is presently trading above the $2,500 mark. The $2,600 level is acting as resistance on the upward.
Another important negative trend line has formed on the 4-hours chart near $2,590. The latest slide from the $3,045 swing high to the $2,445 swing low has a 23.6 percent Fib retracement level in the trend line's favor.
The 55 simple moving average and the $2,750 level are now forming the first big barrier (4-hours). To put it another way, the 50 percent Fib retracement level is just a few hundredths of a percent away. It is possible that a closure above the $2,750 level may lead to a new uptrend.
The bulls could make their next significant halt around the $2,880 mark. If this does not happen, more losses below $2,500 are possible. Next significant support is located near $2,445 at the current price level. A price drop to $2,350 is possible if the support level of $2,445 is breached. The price could drop to $2,250 or possibly $2,120 if the losses continue.
On the chart, Ethereum is clearly trading below the $2,800 mark and the 55-period simple moving average (SMA) (4-hours). If ether fails to hold above the $2,445 support level, the price could continue to decline.
Indicators on the technical level
The MACD for ETH/USD is now losing momentum in the bearish zone after four hours of trading.
The RSI (Relative Strength Index) for ETH/USD has fallen below the 50 mark for the last four hours.
Following the $2,445 level is the $2,350 area of support.
Resisting Forces
There are two price points: $2,600 and $2,750.
