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    Ethereum Turns Red, Why ETH Must Hold This Key Support


    Ethereum declined below the $1,200 zone against the US Dollar. ETH is now at a risk of more losses if it fails to stay above the $1,150 support zone.

    • Ethereum started a fresh decline from the $1,250 and $1,280 levels.
    • The price is now trading below $1,200 and the 100 hourly simple moving average.
    • There is a major bearish trend line forming with resistance near $1,200 on the hourly chart of ETH/USD (data feed via Kraken).
    • The pair could decline sharply if there is a clear move below the $1,150 support zone.

    Ethereum Price Struggles

    Ethereum failed to continue higher above the $1,250 and $1,280 resistance levels. ETH formed a high near $1,281 and started a fresh decline.

    There was a clear move below the $1,220 and $1,200 support levels. Ether price declined below the 23.6% Fib retracement level of the upward move from the $1,043 swing low to $1,280 high. It is now trading below $1,200 and the 100 hourly simple moving average.

    Ether is also consolidating near the 50% Fib retracement level of the upward move from the $1,043 swing low to $1,280 high. An immediate resistance on the upside is near the $1,200 level.

    Besides, there is a major bearish trend line forming with resistance near $1,200 on the hourly chart of ETH/USD.  The next major resistance is near the $1,250 zone. A close above the $1,250 resistance zone could start a steady increase. In the stated case, the price could clear the $1,280 resistance.

    Source: ETHUSD on TradingView.com

    The next major resistance is near the $1,350 level, above which the price could even rise towards the $1,440 resistance level in the near term.

    More Losses in ETH?

    If ethereum fails to rise above the $1,200 resistance, it could continue to move down. An initial support on the downside is near the $1,150 zone.

    The next major support is near the $1,120 zone. A close below the $1,120 level might put a lot of pressure on the bulls. In the stated case, ether price may perhaps decline towards the $1,050 level or even $1,000 in the coming sessions.

    Technical Indicators

    Hourly MACDThe MACD for ETH/USD is now gaining momentum in the bearish zone.

    Hourly RSIThe RSI for ETH/USD is now well below the 50 level.

    Major Support Level – $1,150

    Major Resistance Level – $1,200



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