Ethereum Price Retreats From Resistance—Is a Trend Reversal Starting?

Source: CryptoNewsNet Original Title: Ethereum Price Retreats From Resistance—Is a Trend Reversal Starting? Original Link:

Current Price Action

Ethereum price started a fresh increase above $3,350. ETH is now correcting gains from $3,450 and might decline further below $3,200.

• Ethereum started a downside correction from the $3,450 zone.
• The price is trading near $3,200 and the 100-hourly Simple Moving Average.
• There was a break below a bullish trend line with support at $3,240 on the hourly chart of ETH/USD.
• The pair could continue to move down if it settles below the $3,200 zone.

Ethereum Price Declines Heavily

Ethereum price managed to stay above $3,200 and started a fresh increase, beating Bitcoin. ETH price gained strength for a move above the $3,320 and $3,350 resistance levels.

The bulls even pushed the price above $3,400. However, the bears were active below $3,450. A high was formed at $3,448 and the price is now correcting gains. There was a sharp decline below the 23.6% Fib retracement level of the upward wave from the $2,914 swing low to the $3,448 low.

Besides, there was a break below a bullish trend line with support at $3,240 on the hourly chart of ETH/USD. Ethereum price is now trading near $3,200 and the 100-hourly Simple Moving Average.

Upside Potential

If there is another upward move, the price could face resistance near the $3,250 level. The next key resistance is near the $3,300 level. The first major resistance is near the $3,320 level. A clear move above the $3,320 resistance might send the price toward the $3,400 resistance. An upside break above the $3,400 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $3,450 resistance zone or even $3,500 in the near term.

More Losses In ETH?

If Ethereum fails to clear the $3,250 resistance, it could start a fresh decline. Initial support on the downside is near the $3,200 level. The first major support sits near the $3,180 zone and the 50% Fib retracement level of the upward wave from the $2,914 swing low to the $3,448 low.

A clear move below the $3,180 support might push the price toward the $3,150 support. Any more losses might send the price toward the $3,050 region. The next key support sits at $3,000.

Technical Indicators

• Hourly MACD: The MACD for ETH/USD is gaining momentum in the bearish zone.
• Hourly RSI: The RSI for ETH/USD is now below the 50 zone.
• Major Support Level: $3,180
• Major Resistance Level: $3,300