Ethereum price extended losses and tested the support at $2,320. ETH is currently correcting losses and may aim for a fresh rally above the resistance at $2,420.

• Ethereum remained in the bear zone and was trading below the $2,360 zone.
• The price is trading below $2,420 and the 100-hour uncomplicated moving average.
• A connecting bearish trend line is forming on the hourly chart of ETH/USD (data intake via Kraken) with resistance at $2,420.
• To start a decent rally in the near future, the pair needs to stay above the $2,350 support level.

Ethereum price is set to break higher

Ethereum price did not start a modern rally above the $2,450 resistance zone. ETH remained in a bearish zone, similar to Bitcoin, and was trading below the support zone at $2,365.

There was also a move below the $2,350 level. The price tested the support zone at $2,320. The lowest level was $2,329 and the price is currently rising. There was a move above the $2,350 and $2,365 levels. The price rose above the 23.6% Fib retracement level of the bearish wave from a high of $2,468 to a low of $2,329.

Ethereum price is currently trading below $2,420 and the 100-hour uncomplicated moving average. On the other hand, the price seems to be facing headwinds near the $2,420 level. A connecting bearish trend line is also forming on the hourly chart of ETH/USD with resistance at $2,420.

The trendline is near the 61.8% Fib retracement level of the bearish wave from the high of $2,468 to the low of $2,329. A clear move above the resistance at $2,420 could push the price towards the resistance at $2,450.

An upward break above the resistance at $2,420 could trigger further gains in the coming sessions. In the above case, Ether may rise towards the resistance zone at $2,500 in the near future. The next hurdle is near the $2,550 or $2,560 level.

More ETH losses?

If Ethereum fails to break through the resistance at $2,420, another decline could begin. Initial downside support is near the $2,380 level. The first major support is located near the $2,350 zone.

A clear move below the support at $2,350 could push the price towards $2,320. Any further losses could push the price towards the $2,265 support level in the near future. The next key support is at $2,220.

Technical indicators

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

Hourly RSI – The RSI for ETH/USD is currently above the 50 zone.

Main support level – USD 2,320

Major resistance level – $2,420