In the volatile world of cryptocurrency, Ethereum has recently encountered resistance, stymying its earlier momentum. After making an attempt to breach the $2,100 barrier, Ethereum’s price now exhibits signs of a retreat that could see it slide towards the $1,930 support mark in the foreseeable future.
The digital currency has been consolidating with a notable resistance forming around the $2,060 zone. Currently trading below both the $2,080 threshold and the 100-hourly Simple Moving Average, Ethereum’s near-term trajectory appears challenged by a bearish ambiance. Adding to this bearish outlook is the formation of a key downward trend line with resistance near $2,065, as per the hourly chart of ETH/USD.
Ethereum’s latest price dip commenced following an unsuccessful effort to sustain an ascent beyond the $2,120 level, akin to a similar pattern observed in Bitcoin’s recent movements. However, the bull’s rally was cut short and the price commenced a downturn from a peak of approximately $2,132. Subsequent to this, the cryptocurrency saw its value diminish below the $2,080 benchmark, etching a low around the $2,037 mark and now seems to be in a phase of consolidating its losses.
The recovery from these losses is hampered as Ethereum lingers beneath the 23.6% Fib retracement level drawn from the recent drop-off from the $2,132 high to the $2,037 low. Looking upward, Ethereum’s path is barricaded by resistance in the region of $2,065, where the aforementioned bearish trend line lies in wait to thwart prospective gains.
The immediate resistance ahead lies near the $2,100 mark, coinciding with the 61.8% Fib retracement level. Should Ethereum muster the strength to surge past the $2,100 hurdle, it may well set a course towards the $2,120 region. Beyond that, resistance looms near the $2,135 mark, and a sustained push could potentially clear a pathway straight to the $2,200 territory, with aspirations of reaching higher towards $2,250.
However, if Ethereum fails to overpower the resistance at $2,080, the risk of further decline beckons. An initial support is discernible near the $2,035 zone. Should Ethereum breach below this level, the next significant support stands at $2,000, with a potential fall below this critical point possibly plunging Ether to the $1,930 support. The decisive support restrains at $1,900, under which, a move towards the $1,840 mark becomes increasingly conceivable.
Turning to technical indicators, the Hourly MACD for ETH/USD suggests a waning bullish momentum, while the Hourly RSI indicates a level below 50, underscoring the growing pressure on Ethereum.
As the market continues to oscillate between gains and losses, it’s imperative for investors to stay attuned to the key support level at $2,035, and the major resistance level looming at $2,080, as they navigate through the tumultuous waters of cryptocurrency investments.
