In the event that the zone around $1,420 is broken, the ETH/USD pair is likely to sustain further losses.

Analysis of the Price of Ethereum

In the last week, Ethereum was met with resistance close to the zone of $1,700 in relation to the US Dollar. The price of ETH was unable to gather momentum and has begun a new slide that is taking it below the $1,600 mark.

There was an unmistakable break down below the support levels of $1,550 and $1,500. The pair dropped more quickly than expected below the $1,500 level as well as the 55 simple moving average (4-hours). It reached a low of 1,420 dollars and has just lately begun an upward correction.

There was a distinct movement above the resistance zone located at $1,500. The price moved upward, breaking above the 23.6% Fib retracement level of the decline that began from the swing high of $1,722 and ended at the low of $1,420. Above the threshold of $1,500, the price is currently consolidating its recent losses. Near the $1,570 level and the 55-day simple moving average is where an immediate resistance can be seen (4-hours). It is quite close to the 50% Fib retracement level of the negative trend that began at the swing high of $1,722 and ended at the low of $1,420.

The price may challenge $1,650 if it breaks above the key resistance level at the $1,600 zone, which is located nearby. If there are any more rises, the price might even push through the resistance zone at $1,720.

In the event that prices go lower, an initial support is located close to the $1,505 level. Near the level of $1,420 is where traders should look for the next significant support. In the event that the $1,420 support is broken, the price may fall to the $1,350 level. In the event that there are further losses, the price may move closer to $1,250 or possibly $1,200 in the days to come. As can be seen from the chart, the current price of Ethereum is trading well below the $1,600 mark as well as the 55-day simple moving average (4-hours). If there isn't a decisive move below the $1,420 zone for ether's price, there is a good chance that it will begin a new upward trend.

Indicators of technical difficulty
4 hour MACD The MACD for ETH/USD is now losing momentum in the bearish zone. This is a bearish sign.

The four-hour relative strength index (RSI) shows that the price of ETH/USD is now trading higher than the level of 50.

As can be seen from the chart, the current price of Ethereum is trading well below the $1,600 mark as well as the 55-day simple moving average (4-hours). If there isn't a decisive move below the $1,420 zone for ether's price, there is a good chance that it will begin a new upward trend.

Technical indicators

4 hour MACD The MACD for ETH/USD is now losing momentum in the bearish zone. This is a bearish sign.

The four-hour relative strength index (RSI) shows that the price of ETH/USD is now trading higher than the level of 50.