Ethereum encountered difficulties in maintaining a position above $1,650, triggering a fresh decline. The cryptocurrency slipped beneath crucial support levels at $1,620 and $1,600, marking a departure from Bitcoin’s performance.
The decline saw Ethereum’s price testing the $1,550 mark after breaking through the $1,575 support. It ultimately reached a low of approximately $1,553 before entering a consolidation phase. On the hourly ETH/USD chart, a bearish trend line has formed, featuring resistance near $1,570.
Presently, Ethereum hovers just below $1,580 and the 100-hourly Simple Moving Average. It faces resistance at the $1,570 level and the mentioned trend line. Moreover, the 23.6% Fibonacci retracement level, calculated from the decline starting at the $1,669 high and ending at the $1,553 low, sits slightly above the trend line.
The initial major resistance stands at approximately $1,600, corresponding to the 50% Fibonacci retracement level of the downward movement from the $1,669 high to the $1,553 low.
Should Ethereum manage to clear the $1,570 resistance, it might initiate a notable uptrend. In such a scenario, Ether could rally towards the $1,660 resistance, potentially paving the way for a move to $1,720.
However, failure to breach the $1,570 resistance could signal a new downward trend for Ethereum. The primary support on the downside lies around the $1,550 level. If this level is breached, the next key support to watch is at $1,520. A downside break below this level could result in a further decline, potentially pushing the price towards $1,480, and any sustained losses could steer Ether towards $1,420.