7 June 2024
Ethereum price started a downside correction from the $3,885 resistance zone. ETH is now back below $3,800 and might continue to slide toward $3,720.
Ethereum started a pullback after it failed to clear the $3,880 resistance.
The price is trading below $3,840 and the 100-hourly Simple Moving Average.
There was a break below a key bullish trend line with support near $3,830 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start a fresh upward move unless there is a close below the $3,720 support.
Ethereum Price Dips Again
Ethereum price extended its increase above the $3,840 resistance zone. However, ETH struggled to clear the $3,885 level and started a downside correction like Bitcoin.
There was a decline below the $3,840 support level. Besides, there was a break below a key bullish trend line with support near $3,830 on the hourly chart of ETH/USD. The pair declined below the 50% Fib retracement level of the upward wave from the $3,730 swing low to the $3,885 high.
Ethereum is now trading below $3,840 and the 100-hourly Simple Moving Average. However, the bulls are active near the 61.8% Fib retracement level of the upward wave from the $3,730 swing low to the $3,885 high.
If there is another increase, ETH might face resistance near the $3,810 level. The first major resistance is near the $3,840 level. An upside break above the $3,840 resistance might send the price higher. The next key resistance sits at $3,920, above which the price might gain traction and rise toward the $4,000 level.
If the bulls push Ether above the $4,000 level, the price might rise and test the $4,080 resistance. Any more gains could send Ether toward the $4,200 resistance zone.
More Losses In ETH?
If Ethereum fails to clear the $3,840 resistance, it could continue to move down. Initial support on the downside is near $3,765. The next major support is near the $3,750 zone.
The main support sits at $3,720. A clear move below the $3,720 support might push the price toward $3,650. Any more losses might send the price toward the $3,550 level in the near term.
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 – $3,765
Major Resistance Level – $3,840