Ethereum Price (ETH) In Corrective Decrease But Likely To Bounce Back

  • ETH price is slowly moving down and recently broke the $ 180 support area against the US Dollar.
  • The price could soon test the $ 172 or $ 170 level before it starts a fresh increase.
  • Yesterday’s highlighted key bearish trend line is still active with resistance near $ 179 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is still trading in a positive zone as long as there is no close below the $ 170 support.

Ethereum price is in a corrective decrease versus the US Dollar, while bitcoin is consolidating. ETH price might extend its decline to $ 172 before it could climb again.

Ethereum Price Analysis

After forming a short term top near $ 186, ETH price started a downside correction against the US Dollar. It broke the $ 180 support level and the 100 hourly simple moving average to enter a negative zone. Moreover, the recent decline in bitcoin pushed Ethereum below the $ 178 level. The decline was such that the price tested the $ 175 support level and it is currently consolidating losses.

It corrected above the $ 176 level plus 23.6% Fib retracement level of the last drop from the $ 186 high to $ 175 swing low. However, the previous support area near the $ 180 level is acting as a resistance. Besides, the 100 hourly SMA is also preventing gains near $ 179. More importantly, yesterday’s highlighted key bearish trend line is still active with resistance near $ 179 on the hourly chart of ETH/USD.

Above the trend line, the next key resistance is near the $ 180 level. It coincides with the 50% Fib retracement level of the last drop from the $ 186 high to $ 175 swing low. If there is an upside break above the trend line, the 100 hourly SMA, and $ 180, then the price could start a fresh increase. The next key resistance area is near the $ 185 level, above which the price could accelerate higher.

On the downside, there is a decent support forming near the $ 175 level. However, it seems like there could be a downside spike before the price starts a fresh increase above the $ 180 level.

Ethereum Price Analysis ETH Chart

Looking at the chart, Ethereum price is clearly grinding lower below the $ 180 level. It seems like the price could test the $ 172 level before it attempts a decent upward move. Any further losses may perhaps push the price towards the key $ 170 support level. Overall, the price is likely to complete its correction near $ 172 or $ 170 before it could rise again.

ETH Technical Indicators

Hourly MACDThe MACD for ETH/USD is showing a few bearish signs.

Hourly RSIThe RSI for ETH/USD is currently below the 50 level, with a bearish angle.

Major Support Level – $ 172

Major Resistance Level – $ 180

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Analysis – NewsBTC

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