Ethereum Is Falling, But Here’s Why ETH Could Start Another Rise


Ethereum failed to clear the $2,085 resistance and fell against the US dollar. ETH needs to stay above $1,920 to start another surge in the near term.

Ethereum failed to clear the USD 2,085 and USD 2,100 resistance levels. The price is now trading below $2,000 and the 100 hourly simple moving average. There was a break below a key bullish trendline with support near $2,000 on the ETH/USD hourly chart (data feed via Kraken). The pair could continue to decline towards the key USD 1,920 support zone.

Ethereum price is trading below $2K

Ethereum tried to clear the USD 2,085 and USD 2,100 resistance levels. However, ETH failed to gain momentum and formed a short-term top near the $2,085 level.

There was a bearish reaction below the USD 2,050 support level. Additionally, there was a break below a key bullish trendline with support near USD 2,000 on the ETH/USD hourly chart. There was a move below the 50% Fib retracement level of the upward move from the $1,920 swing low to $2,085 high.

Ether price is now trading below $2,000 and the 100 hourly simple moving average. It even tested the 76.4% Fib retracement level of the upward move from the $1,920 swing low to $2,085 high.

The price is now consolidating near the $1,980 level. The first major resistance is near the $2,000 level and the 100 hourly simple moving average. The main resistance is now forming near the USD 2,085 level. A close above the $2,085 level could open the doors for some decent gains.

Source: ETHUSD on TradingView.com

In the mentioned case, ether price could rise towards the USD 2,150 resistance. More gains may send it into the key USD 2,200 resistance zone.

Lose more in ETH?

If ethereum fails to recover above the $2,000 resistance, it could continue to fall. An initial support on the downside is near the $1,960 zone.

The next major support is near the $1,920 level. A close below the $1,920 level could restart the downtrend. In the mentioned case, the price could plunge towards the $1,900 level. The next major support could be near the $1,800 and $1,780 levels in the near term.

Technical indicators

Hourly MACD – The MACD for ETH/USD is now losing momentum in the bearish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 level.

Major Support Level – $1,920

Major Resistance Level – $2,085

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