Ethereum Price Technical Analysis – ETH/USD Heading Lower

Key Highlights

• ETH price failed to break the $53.50 resistance against the US Dollar, and moved down.
• Yesterday’s highlighted new bullish trend line with support at $51.08 on the hourly chart (ETH/USD, data feed via SimpleFX) was broken.
• The price might extend the decline and trade towards the $48.89 level.

Ethereum price failed to hold gains above $53 against the US Dollar, and ETH/USD is now positioned for a move towards $49.

Ethereum Price Decline

It looks like ETH price struggled to clear the $53.50 resistance area against the US Dollar. The price failed to hold the $53 and $52 support levels, and started moving lower. Initially, there was a break below the 23.6% Fib retracement level of the last wave from the $47.50 low to $53.48 high. It prompted further declines, and the price moved below $51.50.

The most important break was below yesterday’s highlighted new bullish trend line with support at $51.08 on the hourly chart (ETH/USD, data feed via SimpleFX). At the moment, the price is attempting a close below the 100 hourly simple moving average at $50.45. Moreover, the price is almost below the 50% Fib retracement level of the last wave from the $47.45 low to $53.486 high. Once the price closes below $50.40, there can be a downside move towards $50.

Looking at the current trend, it looks like the price might even break $50 for a move towards the last swing low of $48.00. An intermediate support is at $48.89, which is the 0.764 Fib level of the last move up from the $47.45 low to $53.486 high. On the upside, the broken support at $51.10 and $51.50 might act as a resistance if the price corrects higher.

Hourly MACD – The MACD is extending moves in the bearish zone.

Hourly RSI – The RSI is now well below the 50 level, and heading lower.

Major Support Level – $48.00

Major Resistance Level – $51.50

 

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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