Ethereum is diving and it is already down more than 10% today vs the US Dollar. ETH to USD is trading below $120.00 and it could continue to slide in the near term.
Key Takeaways: ETH/USD
- Ethereum price is tumbling and it broke many supports near $125.00 and $120.00 against the US Dollar.
- ETH/USD traded below the $120.50 support and a contracting triangle on the 2-hours chart (data feed from Bitstamp).
- Bitcoin price is down 6% and it is now trading near the $6,500 level.
Ethereum Price Analysis
In the past few sessions, Ethereum price accelerated its decline below the $139.90 and $132.00 support levels. ETH to USD even traded below the $128.50 support area to enter further into a bearish zone.
Looking at the 2-hours chart, Ethereum price even settled below the $128.50 level and the 50 simple moving average (2-hours, purple). It opened the doors for more losses below the $125.00 support.
Recently, the price traded below the $120.50 support and a contracting triangle on the 2-hours chart. It spiked below $118.00 and traded to a new monthly low at $116.07. Ethereum price is currently consolidating above $116.00 and it is facing hurdles.
An initial resistance is near the $118.30 level, plus the 23.6% Fib retracement level of the latest slide from $125.61 to $116.07. The first major resistance is near the $120.00 and $120.50 levels.
Besides, the 50% Fib retracement level of the latest slide from $125.61 to $116.07 is near the $120.80 level. Therefore, a clear break above $120.80 might start a decent recovery.
The next major resistance could be near the $124.50 and $125.00 levels. Any further gains could lift the price towards the $130.00 resistance zone or the $132.00 area.
Conversely, the price could fail to correct above the $120.00 and $120.80 levels. In the mentioned case, Ethereum is likely to continue lower. An initial support is near the $116.00 and $115.00 levels. Any further losses might set the pace for a drop towards the $108.00 and $105.00 levels in the near term.