Ethereum price struggled to recover above $3,350 and corrected gains. ETH is consolidating near $3,200 and is facing many hurdles.
- Ethereum started to fall again and tested the $3,120 zone.
- The price is trading below $3,220 and the 100-hourly Simple Moving Average.
- A short-term ascending channel is forming with support at $3,170 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to decline if it trades below the $3,170 support.
Ethereum price faces an uphill task
The price of Ethereum did not rise above the $3,250 level and started to decline again, just like Bitcoin. ETH traded below the USD 3,200 level and even peaked below USD 3,120. A low was formed at $3,113 and the price is now consolidating.
There was a small increase above the USD 3,200 level. The price broke the 23.6% Fib retracement level of the recent decline from the $3,355 swing high to the $3,113 low. However, the bears were active around the USD 3,240 and USD 3,250 levels.
The 50% Fib retracement level of the recent decline from the $3,355 swing high to the $3,113 low acted as a hurdle. There was a fresh decline below the USD 3,200 level. Ethereum is now trading below $3,200 and the 100-hourly Simple Moving Average.
A short-term ascending channel is also forming with support at $3,170 on the hourly chart of ETH/USD. Immediate resistance is near the $3,200 level and the 100-hourly Simple Moving Average.
Source: ETHUSD on TradingView.com
The first major resistance is around the $3,240 level. The next major resistance is at USD 3,300, above which the price could gain strength and rise towards the USD 3,350 level. A close above the USD 3,350 resistance could send the price towards the USD 3,450 resistance. If there is a move above the USD 3,450 resistance, Ethereum could even test the USD 3,550 resistance. Even more gains could send Ether towards the USD 3,620 resistance zone.
More disadvantages of ETH?
If Ethereum fails to clear the USD 3,250 resistance, it could continue falling. The initial downside support is near the $3,170 level and the channel zone. The first major support is near the $3,120 zone.
The main support is around the USD 3,070 level. A clear move below the USD 3,070 support could push the price towards USD 3,030. Any further losses could send the price towards the USD 2,880 level in the near term.
Technical indicators
hourly MACD – The MACD for ETH/USD is gaining strength in the bearish zone.
RSI per hour – The RSI for ETH/USD is now below the 50 level.
Major support level – $3,170
Major resistance level – $3,250
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