Cryptocurrency News

How Ethereum Closes Below $2.3K Could Lead to a Major Decline


Ethereum is forming a bearish zone and it is trading below $2,350 against the US Dollar. If the price dips below $2,300, ETH price could decline.

  • Ethereum extended its decline below the $2,400 and $2,350 levels.
  • The price is now trading well below $2,400 and the 100 hourly simple moving average.
  • There is a major bearish trend line forming with resistance near $2,380 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could extend its decline if the bulls fail to defend the key $2,300 support area.

Ethereum price remains at risk

ethereum launched steady decline From above $2,500, same as Bitcoin. ETH traded below the $2,450 and $2,400 support levels and moved into a bearish zone.

It even broke the $2,350 support area and yesterday’s low. The price is now trading well below $2,400 and the 100 hourly simple moving average. Ether is managing to stay above the key $2,300 support area. A lower level is formed near $2,304 and the price is consolidating losses.

An initial resistance is near the $2,350 level. The first major resistance is near the $2,380 level. There is also a key bearish trend line forming with resistance near $2,380 on the hourly chart of ETH/USD.

Source: ETHUSD on TradingView.com

The trend line is near the 23.6% Fib retracement level of the recent decline from the $2,640 high to $2,304 low. The first major resistance is near the $2,400 level. Major resistance is now forming near the $2,450 level and the 100 hourly simple moving average. It is near the 50% Fib retracement level of the recent decline from the $2,640 high to $2,304 low.

More losses in ETH?

If Ethereum fails to clear the $2,380 and $2,400 resistance levels, it could continue to move lower. On the downside, an initial support is near the $2,320 level.

A major breakdown support is now forming near the $2,300 level. There could be a downside break below the recent lows and the $2,300 support level. In the said case, the price of Ether is likely to drop to $2,150 in the near term.

technical indicators

hourly macdMACD for ETH/USD is struggling to gain momentum in the bullish zone.

hourly rsiThe RSI for ETH/USD is currently near the 40 level.

Key Support Level – $2,300

Key Resistance Level – $2,400



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