Ethereum price did not settle above the $4,000 zone. ETH is correcting gains and may struggle to stay above the $3,820 support zone.
- Ethereum started a downward correction from the $4,100 area.
- The price is trading below $3,980 and the 100-hourly simple moving average.
- There was a break below the major bullish trend line with support at $3,940 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could continue to move down if it does not stay above the $2,820 support zone.
The price of Ethereum is failing again
The price of Ethereum struggled to stay above the $4,000 level and was underperforming Bitcoin. ETH started a fresh decline and traded below the $4,000 support area.
There was a move below the $3,980 and $3,940 support levels. Additionally, there was a break below the major bullish trend line with support at $3,940 on the hourly chart of ETH/USD. The pair even fell below the $3,850 level. A low was formed at $3,837 and the price is now consolidating lose.
The price of Ethereum is now trading below $3,920 and the 100-hourly simple moving average. On the upside, the price appears to be facing obstacles near the $3,900 level. It is near the 23.6% Fib level of the move down from the $4,107 swing high to the $3,837 low.
The first major resistance is near the $3,970 level or the 50% Fib level of the move down from the $4,107 high to the $3,837 low.
The main event now generates nearly $4,000. A clear move above the $4,000 resistance could send the price towards the $4,120 resistance. An upside break against $4,120 could call for more gains in the coming sessions. In the mentioned case, Ether could rise towards the protection zone $4,250 or even $4,320.
More losses in ETH?
If Ethereum fails to clear the $3,900 resistance, it could continue to decline. Initial support on the downside is near the $3,820 level. The first major support is near the $3,780 area.
A clear move below the $3,780 support could push the price towards the $3,650 support. Any further losses could send the price towards the $3,550 support level soon. The next major support will be at $3,500.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is moving in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Prime Level Support – $3,820
Major Resistance Level – $3,970
