- ETH price made a sharp downside move and broke the $458 and $420 support levels against the US Dollar.
- There was a break below a major bullish trend line with support at $462 on the hourly chart of ETH/USD (data feed via SimpleFX).
- The pair started recovering after trading as low as $398.04 and forming a base.
Ethereum price declined sharply against the US Dollar and Bitcoin. ETH/USD is recovering but might face sellers near $458-465.
Ethereum Price Resistance
There was sharp rejection and a downside move in ETH price from well above $500 against the US Dollar. The price declined by more than $100 and traded below the $458 and $420 support levels. The decline was such that the price even broke $400 to trade as low as $398.04. During the downside, there was a break below a major bullish trend line with support at $462 on the hourly chart of ETH/USD. Later, a recovery wave was initiated and the price moved above the 23.6% Fib retracement level of the last decline from the $513.75 high to $398.04 low.
The current recovery is very positive, but the pair is facing many hurdles on the upside near $465-470. The $458-465 support area could now act as a resistance. Moreover, the 50% Fib retracement level of the last decline from the $513.75 high to $398.04 low is around $455 to act as a resistance. It seems like there are many resistance forming toward $480 in the near term.
If the pair fails to break the $465 resistance zone, it might decline once again. On the downside, supports can be seen near $420 and $400 levels. Below $400, there can be heavy declines in ETH/USD.
Hourly MACD – The MACD is placed well in the bearish zone.
Hourly RSI – The RSI is correcting higher but it remains well below 50 level.
Major Support Level – $420
Major Resistance Level – $465
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.
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