Ethereum Price Rejected Again, Market Watches Key Support Closely

Ethereum price started a recovery wave above the $2,000 zone. ETH is now struggling to clear $2,090 and remains at risk of another decline in the near term.

• Ethereum started a recovery wave above the $2,000 zone.
• The price is trading above $2,000 and the 100-hourly Simple Moving Average.
• There is an expanding triangle forming with support at $2,020 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could start a fresh decline if it stays below the $2,090 zone.

Ethereum Price Trims Some Gains

Ethereum price extended its recovery wave after it cleared the $1,950 zone, like Bitcoin. ETH price was able to clear the $2,020 resistance zone.

The bulls pushed the price above the 50% Fib retracement level of the downward move from the $2,200 swing high to the $1,912 low. However, they struggled to clear the $2,090 resistance level. The price is now trimming some gains and trading below $2,050.

Ethereum price is now trading above $2,020 and the 100-hourly Simple Moving Average. There is also an expanding triangle forming with support at $2,020 on the hourly chart of ETH/USD.

If the bulls remain in action above $2,020, the price could attempt another increase. Immediate resistance is seen near the $2,050 level. The first key resistance is near the $2,090 level or the 61.8% Fib retracement level of the downward move from the $2,200 swing high to the $1,912 low.

The next major resistance is near the $2,150 level. A clear move above the $2,150 resistance might send the price toward the $2,220 resistance. An upside break above the $2,220 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $2,265 resistance zone or even $2,320 in the near term.

More Losses In ETH?

If Ethereum fails to clear the $2,050 resistance, it could start a fresh decline. Initial support on the downside is near the $2,020 level. The first major support sits near the $1,990 zone.

A clear move below the $1,990 support might push the price toward the $1,925 support. Any more losses might send the price toward the $1,880 region. The main support could be $1,840.

Technical Indicators

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

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

Major Support Level – $1,990

Major Resistance Level – $2,090