Ethereum Price Faces Rejection Again: Market Monitors Key Support Levels

Ethereum's price began a recovery attempt above the $2,000 level, but it faces challenges in breaking through the $2,090 resistance, posing potential risks of a decline shortly.

Key Takeaways

Ethereum's price recovered above the $2,000 mark.
Currently trading above $2,000 and the 100-hourly Simple Moving Average.
An expanding triangle pattern is forming with support at $2,020 on the hourly ETH/USD chart (data sourced from Kraken).
If Ethereum stays below $2,090, it may face a further decline.

Ethereum Price Rejected Again

Ethereum is currently navigating through a recovery phase after previously breaching the $1,950 level, similar to Bitcoin. While it managed to surpass the $2,020 resistance, the price struggles to maintain momentum at $2,090, raising concerns about a possible decline if it remains below that threshold.

Ethereum Price Adjusts Gains

Ethereum has extended its recovery after moving past the $1,950 level, mirroring Bitcoin’s recent performance. The price briefly broke above the $2,020 resistance zone. While bulls managed to push the price above the 50% Fibonacci retracement level from the recent downtrend, they could not overcome the $2,090 resistance.

Now, Ethereum’s price is pulling back slightly, trading under the $2,050 level, although it remains above $2,020 and the 100-hourly Simple Moving Average. An expanding triangle is visible on the hourly chart, indicating support at $2,020. If buyers maintain momentum above this level, Ethereum may challenge higher prices, with immediate resistance around $2,050.

The first significant resistance level is at $2,090, corresponding to the 61.8% Fibonacci retracement from the downtrend.

Ethereum Price Source: ETHUSD on TradingView.com

A breakthrough above $2,150 could lead to an increase toward the $2,220 resistance level. If the price exceeds the $2,220 area, it may pave the way for further upward movement, possibly eyeing targets of $2,265 or even $2,320 in the near future.

Are More Losses Ahead for ETH?

If Ethereum fails to break past the $2,050 resistance, it may initiate a downward trend. The initial support is near $2,020, while the first major support area is around $1,990. A significant drop below $1,990 could push the price down to the $1,925 support level, and further declines may bring it closer to the $1,880 mark. The main support to watch would then be at $1,840.

Technical Indicators

Hourly MACD: The MACD for ETH/USD is gaining traction in the bearish zone.
Hourly RSI: The Relative Strength Index (RSI) for ETH/USD is currently below the 50 mark.
Major Support Level: $1,990
Major Resistance Level: $2,090

By keeping an eye on these levels and trends, traders and investors can better navigate the fluctuating landscape of Ethereum's price movements.