Ethereum Price Faces Pressure: Can It Sustain Its Recent Rally?
Ethereum price found support at $2,460 and started a fresh increase. ETH is now struggling and might drop again below the $2,500 support.
- Ethereum started a decent increase above the $2,500 and $2,520 levels.
- The price is trading near $2,550 and the 100-hourly Simple Moving Average.
- There was a break below a connecting bullish trend line with support at $2,555 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could extend losses if there is a move below the $2,500 support zone in the near term.
Ethereum Price Faces Resistance
Ethereum price started a fresh increase from the $2,460 support zone, like Bitcoin. ETH price was able to recover above the $2,500 and $2,520 resistance levels.
The bulls pushed the price above the 23.6% Fib retracement level of the downward move from the $2,730 swing high to the $2,463 low. However, the bears were active near the $2,600 resistance zone. The price failed to clear $2,600 and reacted to the downside.
Ethereum price is now trading near $2,550 and the 100-hourly Simple Moving Average. There was a break below a connecting bullish trend line with support at $2,555 on the hourly chart of ETH/USD.
On the upside, the price could face resistance near the $2,580 level. The next key resistance is near the $2,600 level. It is close to the 50% Fib retracement level of the downward move from the $2,730 swing high to the $2,463 low.
The first major resistance is near the $2,650 level. A clear move above the $2,650 resistance might send the price toward the $2,720 resistance. An upside break above the $2,720 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $2,800 resistance zone or even $2,850 in the near term.
More Losses In ETH?
If Ethereum fails to clear the $2,600 resistance, it could start a fresh decline. Initial support on the downside is near the $2,550 level. The first major support sits near the $2,520 zone.
A clear move below the $2,520 support might push the price toward the $2,460 support. Any more losses might send the price toward the $2,420 support level in the near term. The next key support sits at $2,350.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is losing momentum in the bullish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
Major Support Level – $2,520
Major Resistance Level – $2,600
