Ethereum failed to stay above $2,400 and began to make major corrections to the U.S. dollar. ETH price is now close to key $2,100 and $2,080 support levels
- Ethereum failed to rise above US$2,400 and began a downward correction.
- The price is now below $2,200 and the 100-hour simple moving average.
- On the hourly chart of ETH/USD (through data provided by Kraken), the main bullish trend line was broken, and the support level was near $2,200.
- The currency pair may find strong buying interest near the $2,100 and $2,000 support levels.
Ethereum price corrected lower
Ethereum started to rise sharply above the $2,000 resistance level, similar to Bitcoin. ETH price surged above the $2,250 resistance level and above the 100-hour simple moving average.
However, prices are facing strong selling interest near US$2,400 and US$2,450. Before the price started a downward correction, a high was formed near $2,431. It fell sharply below the support levels of $2,320 and $2,250.
The price even broke the 61.8% Fibonacci retracement level Move up From a low of $2,110 to a high of $2,431. In addition, on the hourly chart of ETH/USD, it fell below the main bullish trend line and the support level was around 2,200 USD.
Source: ETHUSD on TradingView.com
The price is now below $2,200 and the 100-hour simple moving average. On the bright side, the initial resistance is near the $2,200 level. The next major hurdle for the bulls may be around $2,250 and then $2,300. Closing prices higher than 2,300 US dollars may start a new rebound in the short term.
Dips limited to ETH?
If Ethereum fails to continue to rise above US$2,250 and US$2,300, it may continue its decline. The initial support for the downside is near $2,110.
The first major support is near the $2,080 level. The main support level is currently formed near 2,040 USD. It is close to the 1.236 Fibonacci extension level of the upward movement from the swing low of $2,110 to the high of $2,431. Any more losses may lay the foundation for a fall to the USD 2,000 support zone in the short term. The next major support is near the $1,910 level.
MACD per hour —— The MACD of ETH/USD is now accelerating in the bearish zone.
RSI per hour —— The RSI for ETH/USD is now well below the 50 level.
Main support level-2,080 USD
Main resistance level – 2,250 USD