Ethereum Price Signals Bearish Moves, Test of $1,100 Seems Possible

Ethereum is still showing bearish signs below the $1,200 zone against the US Dollar. ETH could continue to move down below the $1,180 support zone.

• Ethereum is attempting a minor upside correction towards the $1,200 barrier.
• The price is now trading below $1,200 and the 100 hourly simple moving average.
• There was a break above a key bearish trend line with resistance near $1,195 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair remains at a risk of a larger decline towards the $1,100 level or even $1,000.

Ethereum Price Struggles

Ethereum price remained stable near the $1,180 level. ETH formed a base and started a minor upside correction from $1,180, similar to bitcoin.

The price was able to climb above the $1,185 and $1,190 levels. There was a break above a key bearish trend line with resistance near $1,195 on the hourly chart of ETH/USD. The pair even climbed above the 23.6% Fib retracement level of the key decline from the $1,232 swing high to $1,180 low.

However, the bears are active below the $1,220 level. Ether price is now trading below $1,200 and the 100 hourly simple moving average.

An immediate resistance is near the $1,205 level and the 100 hourly SMA. It is near the 50% Fib retracement level of the key decline from the $1,232 swing high to $1,180 low. The next major resistance is near the $1,212 level. The first major resistance is near $1,230.

Source: ETHUSD on TradingView.com

A close above the $1,230 resistance could start a decent upward move. In the stated case, the price may perhaps rise towards the $1,250 resistance. The next major resistance could be $1,265, above which the price might rise towards the $1,300 resistance zone.

Fresh Decline in ETH?

If ethereum fails to climb above the $1,220 resistance, it could start another drop. An initial support on the downside is near the $1,188 level.

The next major support is near the $1,180 level. A downside break below $1,180 might send the price towards the $1,120 support. Any more losses might call for a test of the $1,100 zone.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bearish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 level.

Major Support Level – $1,180

Major Resistance Level – $1,220