New Delhi(CoinChapter.com): Ethereum’s ETH is signaling a downside break below $1,200. The price might gain bearish momentum if it breaks the $1,185 support zone.
Ethereum Price (ETH) Takes Hit
This past week, ethereum and bitcoin saw a minor increase against the US Dollar. The ETH/USD pair climbed above the $1,200 level and the 50 simple moving average (4-hours, blue).
However, the price struggled to clear the $1,235 and $1,240 resistance levels. The bulls made a few attempts to push ether price above the $1,240 level, but they failed. A swing high was formed near $1,240 and the price started a fresh decline.
Etheruem price 4-hours price chart | Source: ETH/USD on TradingView.com
The price declined below the $1,220 and $1,210 support levels. Besides, it traded below a key bullish trend line at $1,205 on the 4-hours chart.
There was a spike below the 50% Fib retracement level of the upward wave from the $1,151 swing low to $1,240 high. Ethereum price is now trading well below the $1,220 level and the 50 simple moving average (4-hours, blue).
An immediate support on the downside sits near the $1,185 level. It is near the 61.8% Fib retracement level of the upward wave from the $1,151 swing low to $1,240 high. The next major support is near the $1,172 level. The main support sits near the $1,150 level.
A close below the $1,172 and $1,150 support levels could spark a sharp move towards the $1,080 support. Any more losses below $1,080 could send the price towards the $1,000 zone.
If not, the bulls might defend the $1,185 support zone. An immediate resistance is near the $1,210 level and the 50 simple moving average (4-hours, blue). A clear move above the $1,210 resistance level might send the price towards the $1,232 resistance.
The next major resistance is near the $1,240 level. Any more gains might open the doors for a move towards the $1,300 resistance or even $1,350.
Overall, ether price is slowly moving lower below the $1,200 level. If ETH declines below the $1,185 and $1,172 support levels, there might be a major downside break. Conversely, the price might start another increase and attempt an upside break above the $1,240 resistance.
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