Ethereum Price Holds Support but Shows Signs of Weakening Momentum

Ethereum's price has initiated an upward movement from $1,840 and is currently consolidating its gains, potentially heading for another rise above the $2,000 mark.

Key Takeaways

Ethereum has begun an upward trend, surpassing the $1,900 level.
The price remains below $2,000 and the 100-hourly Simple Moving Average.
A bearish trend line has emerged, showing resistance around $2,000 on the ETH/USD hourly chart (data feed from Kraken).
If Ethereum stays under the $1,880 mark, a decline may occur.

Ethereum Price Support Intact

Ethereum Price Stays Above Key Support Level

Ethereum has successfully established a foundation, trading above the $1,900 resistance level, similar to Bitcoin's performance. The price of ETH climbed past resistance levels of $1,950 and $2,000. The bulls pushed the price further to a peak of $2,054 before experiencing a correction. Following this, the price dipped below $2,000 and also fell under the 50% Fibonacci retracement level from the upward movement that started at the $1,836 low.

Presently, Ethereum is trading below $2,000 and the 100-hourly Simple Moving Average. If bullish momentum continues above the $1,900 level, another increase could be on the horizon. The immediate resistance is identified near the $2,000 mark. A new bearish trend line is also forming, presenting resistance at the same $2,000 level.

Ethereum Price Chart
Source: ETHUSD on TradingView.com

The first significant resistance is near $2,050, followed by a major resistance level around $2,120. If Ethereum breaks above the $2,120 resistance, it may lead the price toward the $2,155 level. A significant move beyond $2,155 could result in further gains, potentially pushing Ether toward resistance levels of $2,220 or even $2,250 in the near future.

Could Ethereum Continue to Decline?

Should Ethereum struggle to overcome the $2,000 resistance, it may begin a fresh downward trend. Initial support on the downside is located around $1,920, while the first significant support is at the $1,880 zone, corresponding to the 76.4% Fibonacci retracement from the upward movement spanning from the $1,836 low to the $2,054 high.

A decisive move below the $1,880 support level could see the price drop toward $1,840, with further declines potentially leading to the $1,800 mark. The primary support is projected at $1,740.

Technical Indicators

Hourly MACD: The MACD for ETH/USD is showing waning momentum within the bullish zone.
Hourly RSI: The RSI for ETH/USD has fallen below the 50 threshold.

Major Support Level: $1,880

Major Resistance Level: $2,050