Ethereum gained bearish momentum below the $1,500 support against the US Dollar. ETH needs to stay above $1,400 to start a rally wave.

Ethereum remained in a bearish zone and extended losses below $1,500. The price is now trading below $1,500 and the 100 hourly simple moving average. There is a key bearish trend line forming with resistance near $1,460 on the hourly chart of ETH/USD (data feed via Kraken). The pair could start a recovery wave unless there is a clear move below the $1400 support.

Ethereum price breaks

Ethereum was unable to recoup losses and trade above the $1,550 level. ETH started another drop and traded below the key $1,500 support zone.

It opened the doors for a sharp drop below the $1,450 level. Ether price even tested the $1,400 support zone. A low is formed near $1,402 and the price is now consolidating losses. It is now trading below $1,500 and the 100 hourly simple moving average.

An immediate resistance on the upside is near the $1440 level. The first major resistance is near the $1,450 zone. It is close to the 23.6% Fibonacci retracement level of the downward move from the $1,662 high to $1,402 low.

There is also a key bearish trend line forming with resistance near $1,460 on the hourly chart of ETH/USD. A clear move above the trend resistance could send the price towards the $1500 level. The next major resistance could be at $1,550.

Source: ETHUSD on TradingView.com

It is near the 50% Fib retracement level of the move down from the $1,662 high to $1,402 low. The main breakout zone is now forming near the $1,550 zone. A clear move above the $1,550 level could initiate a decent rally.

More losses in ETH?

If ethereum fails to break above the $1460 resistance, it could continue to go lower. An initial support on the downside is near the $1,400 zone.

A clear move below the $1,400 support could push the price towards the $1,375 support zone. More losses could even push ether price to the $1,300 support.

technical indicators

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

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

Major Support Level: $1,400

Major resistance level: $1,460



This post Ethereum takes a hit, why $1,400 could spark a new surge

was published first on https://www.newsbtc.com/analysis/eth/ethereum-takes-hit-1400/

Author

Write A Comment