Ethereum Price Plunges to $125: Can Bulls Save the Day?
Ethereum is currently declining and it broke the $130 support area against the US Dollar. ETH price is consolidating losses and upsides are likely to face hurdles near $128 and $130.
- Ethereum is down around 2% and it tested the $125 support zone against the US Dollar.
- The price is currently consolidating above $125 and it remains at a risk of more losses.
- There is a major bearish trend line forming with resistance near $128 on the hourly chart of ETH/USD (data feed via Kraken).
- A clear break below the $124 low could set the pace for more losses towards $120 and $118.
Ethereum Price Gaining Bearish Momentum
After struggling to stay above the $135 zone, Ethereum started a fresh decline against the US Dollar. ETH price gained bearish momentum and broke the $130 support level.
There was a close below the $128 level and the 100 hourly simple moving average. The price tested the $124-$125 support area and a low is formed near $124.
Ethereum is currently consolidating losses and trading above the $126 level. It broke the 23.6% Fib retracement level of the recent decline from the $133 high to $124 low. On the upside, there are many hurdles forming near the $128 level.
More importantly, there is a major bearish trend line forming with resistance near $128 on the hourly chart of ETH/USD. Above the trend line, the 50% Fib retracement level of the recent decline from the $133 high to $124 low is also near the $128 zone.
Therefore, the bulls are likely to face a strong selling interest near the $128 zone. The main hurdle is now near $130, above which the price could recover towards the $135 zone.
On the downside, an initial support is near the $124-$125 area. If Ethereum dives below the $124 low, there are chances of more losses in the near term.
The next key support is near the $120 zone, where the bulls are likely to emerge. Any further losses could lead the price towards the $115 level in the coming sessions.
Hourly MACD – The MACD for ETH/USD is now moving back into the bullish zone.
Hourly RSI – The RSI for ETH/USD is currently rising and it is approaching the 50 level.
Major Support Level – $124
Major Resistance Level – $130
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