Ethereum ’s price has recently continued its downward trajectory, slipping below the $3,550 level. This bearish trend suggests a potential decline further to the $3,150 level, raising concerns among traders and investors alike.
The cryptocurrency initially struggled to maintain an upward trend, unable to break past the $3,550 resistance level. Following this, ETH displayed significant bearish momentum, dropping below $3,450 and reaching values under $3,300. It briefly fell to roughly $3,100, forming a low and has since been consolidating its losses. The price’s fall is notable, particularly as it closed below the 50% Fibonacci retracement level from its recovery wave.
Currently, Ethereum is trading beneath $3,500 and the 100-hourly Simple Moving Average, indicating a persistent negative trend. A key bearish trend line has formed, presenting resistance around $3,420. The cryptocurrency is also testing the 76.4% Fibonacci retracement level relating to the recovery from $3,100 to $3,553. Resistance is expected to be a challenge near the $3,350 and $3,400 levels, with the $3,420 level being particularly significant.
If Ethereum cannot break past the $3,420 resistance, further declines could ensue. Immediate support is identified around the $3,200 level, with critical support established near $3,120. A decisive drop below this could see the price thrusting towards $3,050 and potentially down to the psychological $3,000 level in the near future, with further support at $2,880.
Technical indicators are indicating a negative outlook for Ethereum , with the hourly MACD reflecting increasing bearish momentum, and the RSI positioning itself below the 50 threshold, reinforcing the current trend’s weakness.
