After failing to brace the pivotal $4,000 resistance level, Ethereum’s value took a downward shift from the $3,880 benchmark, and it now seems to be teetering precariously around the $3,760 shore. Market watchers are closely observing Ethereum’s performance, speculating whether the price will claw back up for a robust resurgence or continue to slide down.
This latest downside correction comes not long after Ethereum muscled through the $3,880 zone, a previous stronghold. The cryptocurrency’s current price dances above the $3,750 milestone and the 100-hourly Simple Moving Average, casting a shadow of potential oscillation in its value. A couple of hours of observation reveal a bearish trendline connecting the dots, revealing resistance settling at $3,880 on the hourly chart of the ETH/USD feed, courtesy of Kraken.
As Ethereum worked up to test the $4000 barrier, it swerved off course, dipping below $3,920 and $3,880 support levels. Then the bears took a swift lunge, plunging the Ethereum value beneath the 50% Fibonacci retracement rubric of the ascension from the $3,631 swing low to the $3,972 peak. Eventually, the price hurtled under the $3,800 level, only to see the bulls keeping the floor above the $3,760 support mark.
Despite the tumultuous correction, Ethereum stayed buoyant above the 61.8% Fibonacci retracement of the upward trajectory from the $3,631 nadir to the $3,972 zenith. The imminent resistance looms at a stone’s throw distance of $3,880, where a bearish trendline traces the path of candlestick resistance on the hourly graph of ETH/USD.
If Ethereum breaks free from the $3,920 resistance, the price may ricochet to loftier levels. The next crucial resistance wafts at $3,950, where should the price trudge past this point, market dynamics could propel the price, flirting with the landmark of $4,000. But the icing on the cake lies in a confident step past the $4,000 resistance, possibly igniting a rally that fans the price to try and knock off the $4,080 threshold, with successful navigation potentially steering towards an ambitious $4,150 barrier.
However, if Ethereum stumbles at the $3,880 resistance again, the downtrend could perhaps extend further. The first reef of support on this downward journey is proximate to the $3,800 horizon. Firm support, however, is stationed close to the $3,760 redoubt. A decisive dismissal of this support might shove the price to the vicinity of $3,720, with further setbacks potentially directing the price towards an alarming $3,630 threshold.
Technical indicators hint at dwindling bearish momentum for ETH/USD as suggested by the MACD. Concurrently, the RSI for ETH/USD has slithered beneath the 50 zone. Major support and resistance levels have been pinpointed at $3,760 and $3,880, respectively. Thus, the oscillations of Ethereum continue to shape the crypto landscape, undoubtedly capturing the rapt attention of traders across the globe.
