The exchange rate of Ethereum against the U.S. dollar is working hard to break through 2,300 USD and 2,320 USD. If it falls below $2,220, the price of ETH may fall sharply.
- Ethereum is showing some bearish signs below the $2,320 resistance zone.
- The price is still above the $2,200 area and the 100-hour simple moving average.
- On the hourly chart of ETH/USD (through data provided by Kraken), a key bullish trend line is formed, and the support level is near $2,280.
- The currency pair must close above $2,320 to gain more room for upside in the short term.
Ethereum price faces obstacles
The bulls have tried several times to gain strength above $2,320 but failed. A high was formed near $2,346, and the price is now correcting its gains. It is trading below the 23.6% Fibonacci retracement of the upward movement from the swing low of $2,153 to the high of $2,346.
The bulls are now protecting the $2,280 level. On the hourly chart of ETH/USD, there is also a key bullish trend line formed, and the support level is near $2,280.
Source: ETHUSD on TradingView.com
The next key support is near the $2,250 level and the 100-hour simple moving average. It is close to the 50% Fib retracement of the upward movement from the swing low of $2,153 to the high of $2,346. The main support levels are now close to the $2,220 and $2,200 levels.
A clear downside break below the $2,200 support area may set the pace for greater declines. The next major support level may be around $2,120, and then the major support level of $2,050.
ETH upside breakthrough?
If Ethereum remains stable at $2,220, it may try to break upward. The immediate resistance on the upside is near the $2,320.
A clear breakthrough and closing above $2,320 may lay the foundation for greater gains. Under the above circumstances, the price could easily rise to the level of US$2,400. The next key resistance is near the $2,450 level, above which the price may test the $2,500 level in the short term.
MACD per hour —— The MACD of ETH/USD is now losing pace in the bullish zone.
RSI per hour —— The RSI for ETH/USD is now trying to stay above the 50 level.
Main support level-2,220 USD
Main resistance-2,320 USD