Ethereum Price Analysis: ETH/USD Under Pressure Near $400
- ETH price declined sharply and spiked below the $400 support area against the US Dollar.
- There is a major declining channel in place with resistance at $410 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is placed in a downtrend below $410 and $420 and it could decline further in the near term.
Ethereum Price Slide
There was a tiny correction above the $420 level in ETH price against the US Dollar. However, the ETH/USD pair failed to move above the $422 and $424 levels and declined once again. It moved down and broke yesterday’s low near the $410 level. Sellers gained control and pushed the price below the $400 level. A new low was formed at $398.31 and the price is currently consolidating.
On the upside, an initial resistance is near the 23.6% Fib retracement level of the last downside move from the $424 high to $398 low. Above the $404 level, the next hurdle is near the $408 level. Moreover, there is a major declining channel in place with resistance at $410 on the hourly chart of ETH/USD. The channel resistance is near the 50% Fib retracement level of the last downside move from the $424 high to $398 low. Therefore, there are clearly many hurdles on the upside near the $408-410 zone. Above this, the price is likely to correct above the $415 and $420 levels.
Looking at the chart, the price is under a lot of bearish pressure below $410. If it fails to stay above $398-400, it could slide further. The next supports are at $395 and $384, followed by the all-important $375.
Hourly MACD – The MACD is gaining traction in the bearish zone.
Hourly RSI – The RSI is currently well below the 40 level and is signaling more losses.
Major Support Level – $398
Major Resistance Level – $410