Price Analysis: Ethereum Price Decline: Market Indicators Point To More Dips

Ethereum price struggled to clear the $3,650 resistance as ETH started another decline and there is now a risk of more dips below the $3,420 support.

• Ethereum started a fresh decline below the $3,550 support zone.
• The price is trading below $3,540 and the 100-hourly Simple Moving Average.
• There is a crucial bearish trend line forming with resistance near $3,550 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could extend losses if it stays below the $3,550 resistance zone.

Ethereum Price Struggle Continues

The price of Ethereum failed to start a recovery wave above the $3,550 and $3,580 resistance levels, like Bitcoin. ETH remained in a short-term bearish zone and extended losses below the $3,500 level.

The price declined below the $3,450 support level. A low was formed at $3,428 and the price is now consolidating losses. 

There was a minor increase above the 23.6% Fib retracement level of the recent decline from the $3,655 swing high to the $3,428 low.

Ethereum is still trading below $3,550 and the 100-hourly Simple Moving Average. There is also a crucial bearish trend line forming with resistance near $3,550 on the hourly chart of ETH/USD. 

If there is a fresh increase, the price might face resistance near the $3,540 level and the 50% Fib retracement level of the recent decline from the $3,655 swing high to the $3,428 low.

The first major resistance is near the $3,550 level and the trend line. An upside break above the $3,550 resistance might send the price higher. The next key resistance sits at $3,650, above which the price might gain traction and rise toward the $3,720 level.

A clear move above the $3,720 level might send Ether toward the $3,800 resistance. Any more gains could send Ether toward the $3,880 resistance zone.

More Downsides In ETH?

If Ethereum fails to clear the $3,550 resistance, it could continue to move down. Initial support on the downside is near $3,420.

A clear move below the $3,420 support might push the price toward $3,350. Any more losses might send the price toward the $3,250 level in the near term.

Technical Indicators

• Hourly MACD – The MACD for ETH/USD is losing momentum in the bearish zone.
• Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
• Major Support Level – $3,420
• Major Resistance Level – $3,550

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