Ethereum encounters strong resistance around $1,300. ETH is declining but is expected to find significant support between $1,240 and $1,220.
The price of Ethereum attempts a substantial rebound above $1,260. The cryptocurrency climbed above $1,280 but faced strong resistance near $1,300.
As a result, the asset started a new downside wave from the peak of $1,296, similar to Bitcoin. It notably broke the support levels at $1,270 and $1,260. The ETH price dropped below the 50% Fibonacci retracement level of the upward trend, falling from a low of $1,218 to a high of $1,296. At the time of publication, the price was slightly below this level.
Currently, the cryptocurrency is trading below the 100-hour simple moving average.
The price is approaching the resistance zone around $1,260. It is close to the 1,296% Fibonacci retracement level of the upward trend from the low of $50 to the high of $1,218. The first major resistance is near the $1,265 region and the 100-hour simple moving average.
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Closing above the $1,265 resistance level could push the price towards the $1,300 resistance zone. Beyond this zone, Ethereum’s price may gather further upward momentum.
The next major resistance is around $1,340. Any rise beyond this level could potentially lead to a price increase to $1,400.
Will ETH suffer more losses?
If ETH fails to break the $1,265 resistance level, it could continue to decline. The initial support is around $1,240.
The next major support is near $1,220. If there is a breakthrough and a close below $1,220, the price may return to the $1,200 support level. Any further losses could potentially lead to a price drop to the support level at $1,165.
From the MACD indicator’s perspective, there are signs of a rebound in ETH/USD in the short term. The RSI suggests that the cryptocurrency has found balance after being oversold.
