Ethereum, one of the leading cryptocurrencies, is currently grappling with obstacles as it attempts to surpass key resistance levels of $1,780 and $1,800. Despite his efforts, the price has remained below the $1,800 mark and the 100-hour Simple Moving Average, signaling a challenging path ahead. Let’s dive into the technical indicators to gain deeper insight into the current state of Ethereum.
On the hourly chart of ETH/USD, a significant bearish trend line has formed, with resistance near $1,760. This trendline served as an important barrier to Ethereum’s upward movement. A close below the $1,720 level could lead to a substantial drop in price, posing a potential challenge for ETH.
Ethereum failed to break above the $1,780 resistance level, reflecting the struggles faced by Bitcoin. While price briefly surged above the 23.6% Fibonacci retracement level, tracing its decline from a high of $1,854 to a low of $1,718, it failed to maintain its bullish momentum. Currently, Ethereum is trading below $1,750 and showing signs of being bearish.
Ether faces significant resistance at $1,800 and the 100-hour Simple Moving Average, highlighting the challenges that exist for the cryptocurrency. Immediate resistance is observed around the $1,755 zone, parallel to the trend line. The next major resistance lies near $1,780, close to the 50% Fibonacci retracement level. A decisive break above the $1,775 and $1,780 levels could pave the way for Ethereum to rise towards $1,850. Further resistance awaits at $1,880, and a break of this level could push Ethereum towards the key $1,920 barrier. A further rise above $1,920 could even push the price towards the $2,000 psychological resistance level.
Support Levels and Potential Weaknesses:
However, failure to clear the $1,755 resistance could result in a continued downside move for Ethereum. Initial support on the downside is around $1,720. If this level is breached, the next major support will be $1,700. A break and close below the $1,700 support level could trigger a slide towards $1,640. Further losses could send the price closer to $1,600, potentially $1,550, in the upcoming trading sessions.
The hourly Moving Average Convergence Divergence (MACD) indicator for ETH/USD reflects increasing bearish momentum. Moreover, the Relative Strength Index (RSI) has fallen below the 50 level, indicating weakening buying pressure.
Ethereum faced hurdles while struggling to break a key resistance level. Bearish pressure and technical constraints hinder its advance, with the $1,780 and $1,800 levels presenting significant challenges. Traders and investors should closely monitor support and resistance levels, including $1,720, $1,755, and $1,780, for insight into potential price moves.