Ethereum Breaks $3K Floor as Bears Press for Additional Downside

Ethereum price failed to stay above $3,150 and extended losses. ETH is down over 5% and might struggle to recover above $3,200 in the near term.

• Ethereum started a fresh decline after it failed to stay above $3,150.
• The price is trading below $3,100 and the 100-hourly Simple Moving Average.
• There is a key bearish trend line forming with resistance at $3,150 on the hourly chart of ETH/USD (data feed via Kraken).
• The pair could continue to move down if it settles below the $3,000 zone.

Ethereum Price Turns Red

Ethereum price failed to continue higher above $3,150 and started a fresh decline, like Bitcoin. ETH price dipped below $3,180 and entered a bearish zone.

The decline gathered pace below $3,120 and the price dipped below $3,000. A low was formed at $2,955 and the price is now correcting some losses. There was a move toward the 23.6% Fib retracement level of the recent decline from the $3,562 swing high to the $2,955 low.

Ethereum price is now trading below $3,150 and the 100-hourly Simple Moving Average. If there is another recovery wave, the price could face resistance near the $3,050 level. The next key resistance is near the $3,150 level. There is also a key bearish trend line forming with resistance at $3,150 on the hourly chart of ETH/USD.

The first major resistance is near the $3,260 level and the 50% Fib retracement level of the recent decline from the $3,562 swing high to the $2,955 low. A clear move above the $3,260 resistance might send the price toward the $3,350 resistance. An upside break above the $3,350 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $3,450 resistance zone or even $3,500 in the near term.

More Downside In ETH?

If Ethereum fails to clear the $3,150 resistance, it could start a fresh decline. Initial support on the downside is near the $2,950 level. The first major support sits near the $2,880 zone.

A clear move below the $2,880 support might push the price toward the $2,750 support. Any more losses might send the price toward the $2,680 region in the near term. The next key support sits at $2,650 and $2,640.

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 – $2,950

Major Resistance Level – $3,150