Ethereum Bears Keep Pushing, Why Decline Isn’t Over Yet

Ethereum price is again moving lower from the $2,325 resistance. ETH could decline heavily if there is a move below the $2,270 support zone.

• Ethereum is showing a few bearish signs from the $2,325 zone.
• The price is trading below $2,300 and the 100-hourly Simple Moving Average.
• There is a key bearish trend line forming with resistance near $2,300 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair might start a fresh increase if it manages to clear the $2,325 resistance zone.

Ethereum price attempted a fresh increase above the $2,300 level. However, ETH faced strong selling interest near the $2,325 zone. A high was formed near $2,327 and the price started a fresh decline, like Bitcoin.

There was a move below the $2,300 support zone. The price even spiked below $2,280 and traded below the 50% Fib retracement level of the upward move from the $2,241 swing low to the $2,327 high. Ethereum is now trading below $2,300 and the 100-hourly Simple Moving Average.

The bulls are now protecting the $2,270 support or the 61.8% Fib retracement level of the upward move from the $2,241 swing low to the $2,327 high. On the upside, the first major resistance is near the $2,300 level. There is also a key bearish trend line forming with resistance near $2,300 on the hourly chart of ETH/USD.

Source: ETHUSD on TradingView.com

The next major resistance is near $2,325, above which the price might rise and test the $2,380 resistance. If the bulls push the price above the $2,380 resistance, they could aim for $2,440. A clear move above the $2,440 level might send the price further higher. In the stated case, the price could rise toward the $2,500 level.

If Ethereum fails to clear the $2,325 resistance, it could start another decline. Initial support on the downside is near the $2,270 level.

The next key support could be the $2,240 zone. A clear move below the $2,240 support might send the price toward $2,200. The main support could be $2,120. Any more losses might send the price toward the $2,080 level.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 level.

Major Support Level – $2,240

Major Resistance Level – $2,325