Ethereum Faces New Wave Of Selling — $3,550 Support In Focus

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Ethereum price started a fresh decline below $3,750. ETH is moving lower below $3,700 and might decline further if it trades below $3,550.
  • Ethereum started another bearish wave after it failed to clear $3,880.
  • The price is trading below $3,700 and the 100-hourly Simple Moving Average.
  • There is a contracting triangle forming with resistance at $3,650 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could continue to move down if it trades below $3,550.

Ethereum Price Dips Further

Ethereum price failed to stay in a positive zone and started a fresh decline below $3,880, like Bitcoin. ETH price declined below $3,800 and $3,750 to enter a bearish zone.

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The decline gained pace below $3,650. Finally, the bulls appeared near $3,550. A low was formed at $3,557 and the price is now consolidating losses near the 23.6% Fib retracement level of the recent decline from the $3,920 swing high to the $3,557 low.

Ethereum price is now trading below $3,800 and the 100-hourly Simple Moving Average. If there is a recovery wave, the price could face resistance near the $3,650 level. There is also a contracting triangle forming with resistance at $3,650 on the hourly chart of ETH/USD.

The next key resistance is near the $3,740 level and the 50% Fib retracement level of the recent decline from the $3,920 swing high to the $3,557 low. The first major resistance is near the $3,800 level. A clear move above the $3,800 resistance might send the price toward the $3,880 resistance. An upside break above the $3,880 region might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $4,000 resistance zone or even $4,050 in the near term.

More Losses In ETH?

If Ethereum fails to clear the $3,800 resistance, it could start a fresh decline. Initial support on the downside is near the $3,580 level. The first major support sits near the $3,550 zone.

A clear move below the $3,550 support might push the price toward the $3,500 support. Any more losses might send the price toward the $3,420 region in the near term. The next key support sits at $3,350 and $3,320.

Technical Indicators

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

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

Major Support Level – $3,550

Major Resistance Level – $3,800

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Author: coinmaker

kryptonew

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