Ethereum price recently made an attempt to clear the $3,720 resistance level, however, it failed and started a decline. The price is now at risk of further losses below the $3,550 support zone. This failure to break through the resistance is a concerning sign for Ethereum investors and traders.
Looking at the hourly chart of ETH/USD, we can see that the price is currently trading below $3,650 and the 100-hourly Simple Moving Average. There is a key bearish trend line forming with resistance near $3,680, indicating that the price may face challenges in moving higher. The MACD for ETH/USD is gaining momentum in the bearish zone, while the RSI is now below the 50 zone, suggesting a possible increase in selling pressure.
After failing to break above the $3,720 resistance, Ethereum price experienced a sharp decline below the $3,660 and $3,650 levels. A low was formed near $3,565, and the price is currently consolidating losses. If there is a close below the $3,550 support, we could see further downside movement. Initial support levels on the downside are near $3,550, followed by the $3,520 zone. The main support sits at $3,500, and a clear move below this level could push the price toward $3,320. This downward pressure could lead to more losses in the near term.
On the upside, if Ethereum manages to break above the $3,680 resistance, the price might face resistance near the $3,640 level. There is also a key bearish trend line forming with resistance near $3,680, indicating another hurdle for the price to overcome. If the bulls push Ether above the $3,750 level, we could see a rise toward the $3,800 resistance. Further gains could potentially send Ether toward the $3,880 resistance zone. However, the failure to clear the $3,650 resistance could result in continued downward movement.
The current state of Ethereum price is facing challenges in breaking above key resistance levels. The technical indicators suggest a bearish outlook in the near term, with potential for further losses if support levels are breached. Investors and traders should closely monitor the price action and be prepared for increased volatility in the coming days.