August 5, 2021

TA: Ethereum (ETH) Tumbles, Why Key Indicators Suggest More Pain

2 min read

Ethereum declined listed below the primary $2,000 support zone versus the United States Dollar. ETH price is showing bearish signs and it remains at a danger of more downsides below $1,800.

  • Ethereum extended its decline listed below the $2,000 and $1,920 levels.
  • The rate is now trading well below the $2,000 resistance and the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $1,940 on the per hour chart of ETH/USD (information feed through Kraken).
  • The set is most likely to continue lower below the $1,850 and $1,820 support levels.

Ethereum Price Dives 8%

There was no major healing in ethereum above the $2,100 level, comparable to bitcoin. As an outcome, ETH saw another decrease and it broke the main $2,000 support zone.

The cost acquired pace listed below the $1,950 assistance and it settled well listed below the 100 hourly easy moving average. A low is formed near $1,864 and the price is now consolidating losses. An initial resistance on the benefit is near the $1,910 level.

The 23.6% Fib retracement level of the current drop from the $2,046 high to $1,864 low is also near $1,910. Besides, there is an essential bearish pattern line forming with resistance near $1,940 on the hourly chart of ETH/USD.

Ethereum Price

 Source: ETHUSD on TradingView.com The pattern line resistance is close to the 50%Fib retracement level of the recent drop from the $2,046 high to $1,864 low. The main resistance now sits near the $2,000 level. A close above the $2,000 zone might set the pace for a bigger increase in the near term. The next significant resistance is near the $2,075 level.

More Losses in ETH?

If Ethereum stops working to recover above $1,910 and $1,950, it might continue to move down. An initial assistance on the downside is near the $1,850 level.

A disadvantage break below the $1,850 assistance could trigger more losses. The very first significant assistance is near the $1,800 level. If ether stops working to stay above the $1,800 support, it might decrease towards the $1,750 swing assistance. Anymore losses might perhaps lead the rate towards the $1,680 support zone in the coming sessions.

Technical Indicators

Per hour MACD-- The MACD for ETH/USD is slowly gaining pace in the bearish zone.

Per hour RSI-- The RSI for ETH/USD is now well listed below the 50 level.

Significant Support Level –-- $1,850

Significant Resistance Level –-- $2,000