Ethereum is down more than 10% from the $190 swing high against the US Dollar. ETH price is currently consolidating above $165 and facing key hurdles near the 100 hourly SMA.
Ethereum declined sharply below the $175 support and tested the $165 zone.
The price is currently consolidating losses and it might correct towards $175.
There is a key bearish trend line forming with resistance near $176 on the hourly chart of ETH/USD (data feed via SimpleFX).
The pair is likely to struggle near the $176 resistance and the 100 hourly simple moving average.
Ethereum Price Facing Hurdles
In the past few sessions, there was a steady decline in Ethereum from well above the $185 level against the US Dollar. ETH price traded below the key $175 support and the 100 hourly simple moving average.
It tested the $165 support area and it is currently consolidating losses. There was a minor upward move above the 23.6% Fib retracement level of the key decline from the $189 monthly high to $165 low.
On the upside, an initial resistance is near the $173 level (the recent breakdown zone). The first major hurdle for the bulls is see near the $175 level since it is close to the 100 hourly simple moving average.
More importantly, there is a key bearish trend line forming with resistance near $176 on the hourly chart of ETH/USD. The trend line coincides with the 50% Fib retracement level of the key decline from the $189 monthly high to $165 low.
If Ethereum starts an upside correction above the $173 level, it is likely to face a strong selling interest near the $175 and $176 levels. A successful close above the $175 level and the 100 hourly SMA is needed for more upsides. The next key resistance is near the $180 level, above which Ether price might visit the $189 monthly high.
If Ethereum fails to continue above the $175 and $176 resistance levels, it could start a fresh decline. An initial support on the downside is near the $167 level.
The main support is near the $165 level. If there is a convincing break and close below $165, the price may perhaps extend its decline towards the $160 support or the $158 pivot level in the near term.
Hourly MACD – The MACD for ETH/USD is currently reducing its last bearish slope
Hourly RSI – The RSI for ETH/USD is struggling to move back above the 50 level.
Major Support Level – $165
Major Resistance Level – $176
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