Ethereum settled below the $3,000 support zone against the US Dollar. ETH price could continue to move down if it stays below the $3,000 pivot level.
Ethereum started a downside correction after it failed to stay above the $3,200 level.
The price is now trading below $3,000 and the 100 hourly simple moving average.
There is a key declining channel forming with resistance near $2,900 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could extend decline if there is a clear move below the $2,800 support zone.
Ethereum Price Remains At Risk
Ethereum failed to stay above the $3,020 and $3,000 support levels. ETH extended decline below the $2,950 support and settles below the 100 hourly simple moving average.
The decline was such that the price traded below the $2,900 level. A low is formed near $2,832 and the price is now consolidating losses. An immediate resistance is near the $2,880 level. The first major resistance is near the $2,950 level.
There is also a key declining channel forming with resistance near $2,900 on the hourly chart of ETH/USD. The channel resistance is near the 23.6% Fib retracement level of the recent decline from the $3,141 swing high to $2,832 low.
Source: ETHUSD on TradingView.com
The main resistance is near the $3,000 level and the 100 hourly simple moving average. It coincides with the 50% Fib retracement level of the recent decline from the $3,141 swing high to $2,832 low. A successful close above $3,000 might start another increase. In the stated case, the price could surpass the $3,050 and $3,080 levels. Any more gains might send the price towards the $3,120 level.
More Losses in ETH?
If ethereum fails to start a fresh increase above $2,900 or $3,000, it could continue to move down. An initial support on the downside is near the $2,830 level.
The next major support is near the $2,800 level. A downside break below the $2,800 level might push the price towards the $2,720 level. The next major support is near the $2,650 level, below which there is a risk of a larger decline. In the stated case, the price could test $2,550.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining pace in the bearish zone.
Hourly RSI – The RSI for ETH/USD is below the 50 level.
Major Support Level – $2,800
Major Resistance Level – $3,000
