Monday, June 17, 2024
Home > News > Ethereum News > Can Ethereum Price Maintain This Support and Spark a New Increase?

Can Ethereum Price Maintain This Support and Spark a New Increase?

Ethereum price started a downside correction below the $3,880 support. ETH is now testing the $3,760 support and might aim for a fresh increase.

  • Ethereum started another downside correction below the $3,880 zone.
  • The price is trading above $3,750 and the 100-hourly Simple Moving Average.
  • There is a connecting bearish trend line forming with resistance at $3,880 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could restart its increase unless there is a move below the $3,760 support.

Ethereum Price Dips To Support

Ethereum price failed to test the $4,000 resistance zone and started a downside correction, like Bitcoin. ETH dipped below the $3,920 and $3,880 support levels.

There was also a spike below the 50% Fib retracement level of the upward move from the $3,631 swing low to the $3,972 high. Finally, the price dipped below the $3,800 level. However, the bulls were active near the $3,760 support zone.

The price stayed above the 61.8% Fib retracement level of the upward move from the $3,631 swing low to the $3,972 high. Ethereum price is now trading above $3,750 and the 100-hourly Simple Moving Average.

Immediate resistance is near the $3,880 level. There is also a connecting bearish trend line forming with resistance at $3,880 on the hourly chart of ETH/USD. The first major resistance is near the $3,920 level. An upside break above the $3,920 resistance might send the price higher.

Source: ETHUSD on TradingView.com

The next key resistance sits at $3,950, above which the price might gain traction and rise toward the $4,000 level. If there is a clear move above the $4,000 level, the price might rise and test the $4,080 resistance. Any more gains could send Ether toward the $4,150 resistance zone.

More Losses In ETH?

If Ethereum fails to clear the $3,880 resistance, it could continue to move down. Initial support on the downside is near the $3,800 level.

The next major support is near the $3,760 zone. A clear move below the $3,760 support might push the price toward $3,720. Any more losses might send the price toward the $3,630 level in the near term.

Technical Indicators

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

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

Major Support Level – $3,760

Major Resistance Level – $3,880

Source