Ethereum has broken below the $1,240 support against the US dollar. ETH risks more losses below the $1,220 support in the near future.
- Ethereum remained in the bearish zone and traded below the $1,240 support.
- The price is currently trading below $1,250 and the 100 hour simple moving average.
- The ETH/USD hourly chart (data feed via Kraken) has formed a key bearish trendline with resistance near $1,245.
- The pair is at risk of breaking below the $1,220 support.
Ethereum Price Visits Major Support
Ethereum price failed to recoup its losses and plunged below $1,250. ETH has traded below the $1,240 support level and the 100-hour Simple Moving Average, similar to Bitcoin.
The price has entered the short-term bearish zone and tested the support at $1,220, where a low has formed near $1,220 and is now consolidating losses. Ether price is currently trading below $1,250 and the 100 hour simple moving average.
The ETH/USD hourly chart also has an important bearish trend line forming resistance near $1,245. The 23.6% Fib retracement level of the recent move from $1,278 high to $1,220 low is also near $1,235.
The first major resistance is near the $1,245 levels and the bearish trendline. Additionally, the 50% Fib retracement level from the recent high of $1,278 to the low of $1,220 and the 100-hour Simple Moving Average are approaching the $1,250 level.
Source: ETHUSD on TradingView.com
A breakout of the $1,250 resistance may start a new rally. The next big resistance is near $1,280, above which the Ether price can rally to $1,310. Any further gains could send the price towards the $1,350 resistance zone.
Further loss of ETH?
If Ethereum fails to recover above the $1,250 resistance, it could continue to fall. The first support on the downside is near $1,220.
The next major support is near $1,200. A break below $1,200 and a close can even lead the price down towards the $1,165 support. Further losses could lead the price to support at $1,075.
Hourly MACD – The ETH/USD MACD is currently gaining momentum in the bearish zone.
Hourly RSI – The ETH/USD RSI is currently below the 50 level.
Major Support Level – $1,220
Major Resistance Level – $1,250