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TA: Ethereum Bears Are Back, Why ETH Could Dive Below $1K

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Ethereum extended losses and traded below $1,100 against the US Dollar. ETH could accelerate lower if there is a close below $1,000.

  • Ethereum started a fresh decline below the $1,120 and $1,100 levels.
  • The price is now trading below $1,100 and the 100 hourly simple moving average.
  • There is a major bearish trend line forming with resistance near $1,115 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could continue to decline if there is a close below the $1,000 level.

Ethereum Price Extends Losses

Ethereum remained in a bearish zone below the $1,150 support zone. ETH extended decline below the $1,120 and $1,100 levels. It opened the doors for more losses and the price even moved below $1,080.

The price is now trading below $1,100 and the 100 hourly simple moving average. It traded as low as $1,033 and the price is now consolidating losses. An immediate resistance on the upside is near the $1,060 level. The first major resistance is near the $1,090 zone.

The 23.6% Fib retracement level of the downward move from the $1,275 swing high to $1,033 low is also near the $1,090 level. Besides, there is a major bearish trend line forming with resistance near $1,115 on the hourly chart of ETH/USD. The trend line is near the 100 hourly simple moving average.

Ethereum Price

Source: ETHUSD on TradingView.com

The next key barrier is near the $1,150 level or the 50% Fib retracement level of the downward move from the $1,275 swing high to $1,033 low, above which the price start a decent increase. In the stated case, the price could rise towards the $1,200 resistance zone.

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More Losses in ETH?

If ethereum fails to rise above the $1,090 resistance, it could continue to move down. An initial support on the downside is near the $1,035 zone. The next major support is near the $1,000 zone.

A downside break below the $1,000 support may perhaps spark a sharp decline. In the stated case, the price could drop toward the $965 level. Any more losses below the $965 level may perhaps call for a move towards the $880 level in the coming sessions.

Technical Indicators

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

Hourly RSI The RSI for ETH/USD is now near the 40 level.

Major Support Level – $1,000

Major Resistance Level – $1,090


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