- ETH price corrected a few points recently towards $268 against the US Dollar, but recovery was limited.
- There is a descending channel with resistance at $262 forming on the hourly chart of ETH/USD (data feed via SimpleFX).
- The pair might continue to decline and move towards the $250-245 levels in the short term.
Ethereum price recovery was limited against the US Dollar and Bitcoin, and the ETH/USD pair might continue to face selling pressure below $268 in the near term.
Ethereum Price Decline
It looks like ETH price has started a slow and steady downside move from the $282 swing high against the US Dollar. The price recently traded towards $249 from where a minor recovery was initiated. The mentioned recovery took the price above the 23.6% Fib retracement level of the last decline from the $284 high to $249 low. However, the upside move was limited by a short-term resistance at $268.
There was a perfect failure near the 50% Fib retracement level of the last decline from the $284 high to $249 low. It marks a completion of the last correction from the $249 low. The 100 hourly simple moving average was also around $265-268, which prevented gains. At the moment, there is a descending channel with resistance at $262 forming on the hourly chart of ETH/USD. The channel is acting as a downside move catalyst, and might push the price back towards $248-250.
On the upside, we can continue monitoring the channel resistance at $262 and the 100 hourly simple moving average. Only a close above the 100 hourly simple moving average and $268 might decrease the current bearish pressure. On the downside, the last swing low at $249 could serve as a short-term support.
Hourly MACD – The MACD is slightly in the bearish zone.
Hourly RSI – The RSI is currently below the 50 level, but lacking momentum.
Major Support Level – $250
Major Resistance Level – $268
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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