Ethereum has faced significant challenges in recent days as the price failed to break above the $3,520 zone, leading to a fresh decline in value. The cryptocurrency dipped below key support levels like $3,250 and even tested the $3,150 zone, indicating a bearish trend. This decline further continued below the $3,320 and $3,250 levels, with the price now trading below $3,250 and the 100-hourly Simple Moving Average.
There is a clear bearish trend line forming with resistance near $3,325 on the hourly chart of ETH/USD, suggesting that the price may struggle to gain momentum in the near future. Although there could be a correction to the downside, any upside movements are likely to be limited above the $3,320 zone. Ethereum also failed to surpass the $3,450 and $3,420 resistance levels, leading to another decline below the $3,320 support zone similar to Bitcoin’s movement.
Support Levels and Potential Recovery
On the downside, initial support is seen near $3,200, followed by a major support level near the $3,150 zone. A break below the $3,150 support could further push the price towards $3,080 or even the $3,050 level in the short term. However, if there is a recovery wave, the price may face resistance near the $3,250 level, with the first major resistance seen near $3,300 or the 50% Fib retracement level. Additionally, a close above the $3,365 level could potentially push Ether towards the $3,450 resistance and further towards $3,500.
Hourly MACD for ETH/USD is currently showing gaining momentum in the bearish zone, indicating a negative outlook for the cryptocurrency. Hourly RSI has also dropped below the 50 zone, further confirming the downward pressure on Ethereum’s price. Overall, the market sentiment remains cautious as Ethereum struggles to find a strong foothold above key resistance levels, making it vulnerable to further downside movements in the coming days.
