TA: Ethereum Could Narrowly Avoid a Major Correction if it Reclaims $460

Ethereum started a downside correction below the $460 support level against the US Dollar. ETH price is now trading below $450 and it remains at a risk of more downsides.

  • Ethereum is showing a few bearish signs below the $460 and $455 support levels.
  • The price is now trading well below $460 level the 100 hourly simple moving average.
  • There is a key bearish trend line forming with resistance near $453 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair could accelerate lower if there is a clear break below the $442 and $440 support levels.

Ethereum Price is Facing Hurdles

Ethereum started a downside correction after it failed to clear the $480 resistance zone. ETH price broke the $465 and $460 support levels to move into a short-term bearish zone.

There was also a close below the $460 level and the 100 hourly simple moving average. Ether price extended its decline below the $450 support and tested the $440 level. A low is formed near $440 and the price is currently correcting higher.

It surpassed the $445 level, plus there was a break above the 23.6% Fib retracement level of the recent decline from the $462 high to $440 low. The price is now approaching the $450-$452 resistance zone.

Ethereum Price

Source: ETHUSD on TradingView.com

There is also a key bearish trend line forming with resistance near $453 on the hourly chart of ETH/USD. The trend line is close to the 50% Fib retracement level of the recent decline from the $462 high to $440 low. The next major resistance is near the $460 level and the 100 hourly simple moving average.

A successful close above the $460 level and the 100 hourly simple moving average could start a fresh increase. In the stated case, the price could rally towards the $478-$480 resistance zone.

More Downsides in ETH?

If there is no upside break above the $452 and $460 resistance levels, ethereum might extend its decline. An initial support is near the $445 level.

The main support is now forming near the $442 and $440 levels.  Any more losses could trigger a larger decline towards the $432 and $425 support levels in the near term.

Technical Indicators

Hourly MACD The MACD for ETH/USD is slowly gaining momentum in the bullish zone.

Hourly RSI The RSI for ETH/USD is now approaching the 50 level.

Major Support Level – $440

Major Resistance Level – $460



from NewsBTC https://www.newsbtc.com/analysis/eth/ethereum-major-correction-460/

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