Ethereum Price Topside Bias Vulnerable If It Continues To Struggle Below $1,920

2023-06-01 04:15:04

Ethereum price started another decline from the $1,920 resistance against the US Dollar. ETH is at a risk of more losses if it stays below $1,920 for a long time.

Ethereum is now showing bearish signs and well below the $1,920 resistance zone.
The price is trading below $1,880 and the 100-hourly Simple Moving Average.
There is a major bearish trend line forming with resistance near $1,870 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could gain bearish momentum if it breaks the $1,840 support.

Ethereum Price Faces Rejection

Ethereum’s price started a fresh decline after it failed to clear the $1,920 resistance zone. ETH declined below the $1,880 level to move into a short-term bearish zone, similar to Bitcoin.

There was a sharp move below the $1,860 level. The price even tested the $1,840 support. A low is formed near $1,838 and the price is now consolidating losses. It is testing the 50% Fib retracement level of the recent decline from the $1,882 swing high to the $1,838 low.

Ether is now trading below $1,880 and the 100-hourly Simple Moving Average. There is also a major bearish trend line forming with resistance near $1,870 on the hourly chart of ETH/USD.

Immediate resistance is near the $1,865 zone. It is close to the 76.4% Fib retracement level of the recent decline from the $1,882 swing high to the $1,838 low. The next major resistance is near the $1,880 level. A proper move above the $1,865 and $1,880 resistance levels might send Ether toward $1,900.

Source: ETHUSD on TradingView.com

The next resistance sits near $1,920, above which Ethereum could rise toward $2,000. Any more gains above the $2,000 resistance zone might send the price toward the $2,120 resistance.

More Losses in ETH?

If Ethereum fails to clear the $1,880 resistance, it could continue to move down. Initial support on the downside is near the $1,840 level.

The next major support is near the $1,820 zone. If there is a close below the $1,820 support, the price could decline toward the $1,800 support. Any more losses may perhaps send the price toward the $1,740 level or even $1,720 in the coming sessions.

Technical Indicators

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

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

Major Support Level – $1,840

Major Resistance Level – $1,880

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