Key Takeaways:
- Ethereum (ETH) price failed to clear the breakout resistance at $1,650.
- ETH/USD is still below a major bearish trend line with resistance near $1,630 on the daily chart.
- The price could accelerate lower if there is a break below the $1,530 support.
Ethereum Bears Hold Strong At $1,650 | Photo by Kanchanara on Unsplash
New Delhi(CoinChapter): Ethereum (ETH) price is moving lower toward $1,530. ETH bears seem to be defending $1,650 very well and might push the price further below $1,500.
Ethereum Price Rejects $1,650
In the past few days. Ethereum price started a recovery wave from the $1,530 zone, like Bitcoin. There was a steady increase above the $1,580 and $1,600 levels.
The price even spiked above the 50% Fib retracement level of the downward wave from the $1,748 swing high to the $1,532 low. However, the bears took a strong stand near the $1,650 resistance zone and defended an upside break.
Ethereum’s daily price chart | Source: ETHUSD on TradingView.com
Ethereum faced rejection near the $1,650 level and the 61.8% Fib retracement level of the downward wave from the $1,748 swing high to the $1,532 low.
It is again declining and trading below the $1,600 level. It is also well below the 50-day simple moving average. If the bulls attempt another recovery wave, they could face resistance near the $1,630 level. There is also a major bearish trend line forming with resistance near $1,630 on the daily chart.
The first major resistance is now forming near the $1,650 level. The next major resistance is near $1,700 and the 50-day simple moving average. A daily close above the $1,700 level and the 50-day simple moving average could start a strong increase toward the $1,880 resistance. Any more gains could open the doors for a move toward $2,000.
Downside Break in ETH?
Conversely, Ethereum might fail to clear the $1,630 and $1,650 resistance levels. In this case, ETH price might decline below the $1,580 level. Initial support is near the $1,550 level. The next major support is near the $1,530 level. A close below the $1,530 level might set the pace for another major decline.
In the stated case, Ethereum may perhaps drop toward the $1,420 support. Any more losses could open the doors for a move toward the $1,350 support zone in the coming days.
Overall, Ether price is moving lower and trading well below the $1,650 resistance. To start a fresh uptrend, the bulls must push ETH above $1,650 and $1,700. On the other hand, the price might accelerate lower below $1,530 and $1,500.
The post Ethereum Bears Hold Strong At $1,650: Indicators Show Risk of Downside Break appeared first on CoinChapter.
