Ethereum Price Technical Analysis – ETH/USD To Extend Declines

Key Highlights

• ETH price came under renewed selling pressure and declined below the $212 support against the US Dollar.
• There was a break below a descending contracting triangle with support at $212 on the hourly chart of ETH/USD (data feed via SimpleFX).
• The price is currently below the $205 support and looks set for more declines.

Ethereum price is facing an increase in pressure against the US Dollar and Bitcoin, and ETH/USD may continue to move down in the near term.

Ethereum Price Resistance

Yesterday, we saw two decent supports near $218 and $205 for ETH price against the US Dollar. There was an increase in selling pressure, igniting a downside move below $205. To start with there was a break below the $218 support area. Later, there was break below a descending contracting triangle with support at $212 on the hourly chart of ETH/USD. As a result, the price moved down and cleared the $205 support area.

The downside move was strong since there was a break below the $200 handle as well. A new weekly low was formed at $190.39. There was a tiny correction from the $190.36 low as there was a move above the 23.6% Fib retracement level of the last decline from the $225.36 high to $190.36 low. However, the upside move is capped by the 38.2% Fib retracement level of the last decline from the $225.36 high to $190.36 low. The price is resuming its downtrend and may soon retest $190.00.

As long as the price is below the $218 level, there can be more declines. A break below $190 could ignite further declines in the near term towards $180 or $170.

Hourly MACD – The MACD is now placed solidly in the bearish zone.

Hourly RSI – The RSI is currently well below the 50 level, and heading lower towards 30.

Major Support Level – $190

Major Resistance Level – $218

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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