Ethereum Price Analysis: ETH Resumes Decline Below $3,800
Ethereum price is struggling below $4,000 against the US Dollar. ETH/USD remains at a risk of a sharp decline if there is a clear break below $3,650.
Ethereum Price Analysis
Recently, ethereum saw a fresh decline from well above $4,100 against the US Dollar. ETH price formed a high near the $4,145 level and started a major decline.
There was a move below the $4,000 and $3,950 support levels. There was a clear move below $3,850 and the 55 simple moving average (4-hours). Besides, there was a break below a key bullish trend line with support near $3,930 on the 4-hours chart.
The price traded as low as $3,585 and currently correcting higher. There was a break above the $3,700 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $4,143 swing high to $3,585 low.
On the upside, the price is facing resistance near the $3,750 level. The main hurdle is now forming near the $3,850 level and the 55 simple moving average (4-hours).
The 50% Fib retracement level of the downward move from the $4,143 swing high to $3,585 low is also near the $3,850 level. Any more gains could send the price towards the $4,000 level. The next major stop for the bulls could be near the $4,150 level.
An immediate support on the downside is near the $3,720 level. The next major support is now near the $3,640 level, below which the price could test $3,580. Any more losses could lead the price towards $3,200.
Looking at the chart, Ethereum price is clearly trading below the $4,000 zone and the 55 simple moving average (4-hours). Overall, ether price could continue to move down if there is a clear move below $3,650.
4 hours MACD – The MACD for ETH/USD is slowly gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is now below the 50 level.
Key Support Levels – $3,720, followed by the $3,580 zone.
Key Resistance$ Levels – $3,850 and $4,000.
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