Ethereum Price Technical Analysis – Perfect Trend Line Resistance

Key Highlights

  • ETH price after a minor rise yesterday towards 10.50 found sellers against the US Dollar, and moved down.
  • Yesterday’s highlighted a few bearish trend lines formed on the hourly chart (data feed via SimpleFX) of ETH/USD acted as a perfect resistance.
  • The price may continue to move lower towards $10.10 as the bearish pressure is intact.

Ethereum price corrected and moved down once again versus the US Dollar. Yesterday’s trend line acted as a perfect resistance for ETH/USD.

Ethereum Price Downside Move

ETH price attempt to recover the ground failed, as it moved down once again versus the US Dollar. The bearish pressure on the ETH/USD pair was intact, which disabled the buyers to take the price higher. There was a move above the 38.2% Fib retracement level of the decline from the $11.09 high to $10.107 low, but there was no increase in the bullish momentum.

The upside move found resistance near a crucial juncture. Yesterday, I highlighted a few bearish trend lines formed on the hourly chart (data feed via SimpleFX) of ETH/USD. The first trend line acted as a perfect barrier and prevented an upside move. Moreover, the failure was also around the 50% Fib retracement level of the decline from the $11.09 high to $10.107 low. The price attempted to break the trend line resistance on more than two occasions, but failed. As a result, there was a downside move, taking the price back below the $10.40 level.

Ethereum Price Technical Analysis Ethereum Price Technical Analysis

It looks like the price may continue to trade lower. And, if the momentum is there, the price may even test the last swing low of $10.10. Let us see if the bulls can then defend the stated support or not.

Hourly MACD – The MACD is currently in the bearish slope, but with no increase in the momentum.

Hourly RSI – The RSI is well below the 50 level, signaling a bearish bias.

Major Support Level – $10.10

Major Resistance Level – $10.50

 

Charts courtesy – SimpleFX

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

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