Ethereum Price Technical Analysis – ETH/USD Downside Initiated

Key Highlights

• ETH price started a downside move and traded below the $46 level against the US Dollar.
• There is a bearish trend line with resistance at $49.80 formed on the hourly chart (ETH/USD, data feed via SimpleFX).
• The price might correct higher, but likely to face resistance near $46 and $48 levels.

Ethereum price traded down and fell towards $44 against the US Dollar, and now ETH/USD might continue to struggle in the near term.

Ethereum Price Downside Reaction

There was a severe downside reaction in ETH price, as it moved down below $46 against the US Dollar. The price failed to hold the $50 and $47 support levels, which ignited a downside move. It fell lower and traded near the $43.30 level. A new weekly and monthly low was formed at $43.35 from where a recovery was initiated. The price moved above the 23.6% Fib retracement level of the last decline from the $51.39 high to $43.35 low.

However, it is struggling and may face resistance near $47 and $48. An initial hurdle is near the 38.2% Fib retracement level of the last decline from the $51.39 high to $43.35 low at $46.42. However, the most important one is near $49. Since, there is a bearish trend line with resistance at $49.80 formed on the hourly chart (ETH/USD, data feed via SimpleFX). An intermediate resistance is at $47.37, representing the 50% Fib retracement level of the last decline from the $51.39 high to $43.35 low.

So, if the price moves higher towards $46.40 or $48, it might face offers. On the downside, the $44 level is a major support area. A break and close below it could spark a downside towards $40.

Hourly MACD – The MACD is super bearish and signaling more declines.

Hourly RSI – The RSI is now well below the 50 level, and currently struggling.

Major Support Level – $44.00

Major Resistance Level – $47.00

Charts courtesy – SimpleFX

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