Ethereum Fails Above $2K, Why ETH Could Resume Its Slide

Ethereum attempted a decent recovery, but it failed above $2,000 against the US Dollar. ETH price is trimming gains and it might continue to move down towards $1,850.

Ethereum failed to clear the $2,050 and $2,060 resistance levels.
The price is trading well below $2,000 and the 100 hourly simple moving average.
There is a crucial bearish trend line forming with resistance near $2,060 on the hourly chart of ETH/USD (data feed via Kraken).
The pair is likely to continue lower unless there is a strong close above $2,000 in the near term.

Ethereum Price Trims Gains
Ethereum found a strong support near the $1,700 zone, like bitcoin. ETH started a decent recovery wave above the $1,800 and $1,900 levels.
There was a break above the 50% Fib retracement level of the of the key drop from the $2,285 swing high to $1,700 swing low. However, ether price cleared failed to surpass the $2,050 and $2,060 resistance levels.
It is now trading well below $2,000 and the 100 hourly simple moving average. The price also failed near the 61.8% Fib retracement level of the of the key drop from the $2,285 swing high to $1,700 swing low. Besides, there is a crucial bearish trend line forming with resistance near $2,060 on the hourly chart of ETH/USD.

Source: ETHUSD on TradingView.com
An immediate resistance on the upside is near the $1,950 level. The first major resistance is near the $2,000 zone and the 100 hourly SMA. The main barrier is near the trend line and $2,050. To move into a positive zone, ether price must clear the $2,000 and $2,050 levels in the near term.
More Losses in ETH?
If Ethereum fails to clear the $2,000 and $2,050 resistance levels, it could continue to move down. An initial support on the downside is near the $1,850 level.
The first major support is now forming near the $1,820 level. The main support is now forming near the $1,800 level. A downside break below the $1,800 zone could put a lot of pressure on the bulls. In the stated case, the price is likely to revisit the $1,700 zone in the near term.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is now moving in the bearish zone.
Hourly RSI – The RSI for ETH/USD is currently below the 50 level.
Major Support Level – $1,850
Major Resistance Level – $2,000

Jimmy Steele

I’m known as one of the best Crypto Authors in the market. My work has been featured in numerous publications, including The Wall Street Journal, Forbes, and Barron’s. I’m a regular contributor to CoinDesk and have been a guest on CNBC, Fox Business, and Bloomberg TV.