Ethereum Price Reverses Under $2,000, Bulls On The Back Foot

Ethereum price started a fresh decline and traded below $2,000. ETH is now consolidating and remains at risk of another decline below $1,940.

• Ethereum struggled to extend gains above $2,050 and corrected lower.
• The price is trading below $2,000 and the 100-hourly Simple Moving Average.
• There was a break below a bullish trend line with support at $2,035 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could start a fresh decline if it stays below the $2,000 zone.

Ethereum price failed to stay above $2,050 and started a fresh decline, like Bitcoin. ETH price traded below the $2,040 and $2,020 levels to enter a bearish zone.

The pair dipped below the 50% Fib retracement level of the upward move from the $1,895 swing low to the $2,106 high. Besides, there was a break below a bullish trend line with support at $2,035 on the hourly chart of ETH/USD. The bears even pushed the price toward the $1,950 support.

Ethereum price is now trading below $1,980 and the 100-hourly Simple Moving Average. If the bulls remain in action above $1,920, the price could attempt another increase. Immediate resistance is seen near the $1,980 level.

The first key resistance is near the $2,000 level. The next major resistance is near the $2,025 level. A clear move above the $2,025 resistance might send the price toward the $2,045 resistance. An upside break above the $2,045 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $2,120 resistance zone or even $2,150 in the near term.

If Ethereum fails to clear the $2,000 resistance, it could start a fresh decline. Initial support on the downside is near the $1,945 level. The first major support sits near the $1,930 zone or the 83.2% Fib retracement level of the upward move from the $1,895 swing low to the $2,106 high.

A clear move below the $1,930 support might push the price toward the $1,880 support. Any more losses might send the price toward the $1,820 region. The main support could be $1,780.

Technical Indicators

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

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

Major Support Level – $1,930

Major Resistance Level – $2,000