Ethereum price downtrend: decline resumes

Ethereum price failed to clear resistance at $3,720. ETH has fallen again and is now at risk of further losses below the $3,550 support area.

• Ethereum began a new downtrend at the $3,720 resistance zone.
• The price is trading below $3,650 and the 100-hour simple moving average.
• The hourly chart of ETH/USD (data feed via Kraken) shows a major bearish trendline forming with resistance near $3,680.
• If the price closes below the $3,550 support, the pair could extend its losses.

Ethereum price falls again

Ethereum price attempted a significant rise above the $3,650 resistance zone. ETH surged above $3,700, but declines were active. A high was reached at $3,710 and the price began a new downward trend. There was a sharp decline below the $3,660 and $3,650 levels.

A low was made near $3,565 and the price is now consolidating losses like Bitcoin. Ethereum is currently trading below $3,650 and the 100-hour simple moving average.

If there is a new upward or recovery wave, the price may face resistance near the 23.6% Fib retracement level in a downward move from the $3,710 swing high to the $3,565 low. The first major resistance is near the $3,640 level.

Additionally, on the hourly chart of ETH/USD, there is a major bearish trend line forming with resistance near $3,680. The trend line is close to the 61.8% Fib retracement level moving down from the $3,710 swing high to the $3,565 low.

An upside reversal above the $3,680 resistance could push the price higher. The next major resistance level is $3,720, above which the price may gain traction towards the $3,750 level. If bulls push Ethereum above the $3,750 level, the price could move higher and test the $3,800 resistance. Further gains could lead Ether towards the $3,880 resistance zone.

Will there be more losses in ETH?

If Ethereum fails to clear the $3,650 resistance, it may continue to fall. Initial support on the downside is near $3,550. The next major support level is near $3,520.

Main support is $3,500. A clear break below the $3,500 support could push the price towards $3,320. More losses could push the price towards the $3,250 level in the near term.

technical indicators

Hourly MACD – ETH/USD MACD is gaining momentum in bearish territory.

RSI per hour – The RSI for ETH/USD is now below the 50 area.

Key Support Level – $3,550

Key Resistance Level – $3,650