Ethereum Price Technical Analysis – ETH/USD Could Decline Further?

Key Highlights

  • ETH price slowly recovered towards $320 against the US Dollar, but any major recovery seems very unlikely.
  • There is a new short-term contracting triangle pattern with resistance at $320 forming n the hourly chart of ETH/USD (data feed via SimpleFX).
  • There is a chance of another downside push towards the $300 handle as long as there is no close above $330.

Ethereum price is under heavy downside pressure against the US Dollar and Bitcoin, and there is a chance of ETH/USD retesting $300 in the near term.

Ethereum Price Under Pressure

A correction wave was initiated from the $288 swing low in ETH price against the US Dollar. The recent decline is worrying since there was a break below the $300 handle as well. However, it’s hard to call the recent decline as a major setback. A pullback was initiated from the $288 low, and moved above $300. There was a break above the 23.6% Fib retracement level of the last decline from the $365 high to $288 low.

The upside move was prevented near the $326-328 resistance, which is acting as a hurdle for buyers. It also represents the 50% Fib retracement level of the last decline from the $365 high to $288 low. There is a new short-term contracting triangle pattern with resistance at $320 forming n the hourly chart of ETH/USD. The highlighted contracting triangle pattern may ignite the next move either above $326 or below $316. There are chances of a downside push if buyers fail to break $330 in the near term.

Ethereum Price Technical Analysis ETH/USD

On the downside, an immediate support is at $310 followed by $300. On the other hand, a break above $330 might call for a test of the 100 SMA at $336, which is the next resistance.

Hourly MACD – The MACD is currently flat and suggesting consolidation.

Hourly RSI – The RSI is attempting to climb and settle above the 50 level.

Major Support Level – $310

Major Resistance Level – $330

Charts courtesy – SimpleFX

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Source: Newsbtc

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