Ethereum Breaks Below $130, Price Correction Following

Ethereum breaks below the $131 price point and is struggling to clear the main $135 resistance against the US dollar. The ETH price could still break this level if a strong rally comes in the upcoming sessions. Let’s find out more in the ETH price news.

Ethereum breaks below the connecting bullish trend as well and the pair could now correct a few more points towards $130 before it tries to go after $135 again. There was a decent increase in the ETH price yesterday above the $130 resistance when the price gained pace above the 100 hourly simple moving average. However, the price struggled to gain strength above the main $135 resistance area. The bulls manage two more attempts in clearing the $135 barrier but they failed so another high swing is forming at the same level while the price is correcting lower.

There was another break below the connecting bullish trend line as we can see on the ETH/USD charts. The ETH price even traded below the 23.6% Fib retracement level of the upward move from the previous $124 low to $135 high. The price could be finding new bids near the $132 level and the 100 hourly SMA. If there are no more downsides, the price could retest the $130 level. The 50% fib retracement level is also close to the $130 zone and will serve as strong support while any further losses could start a substantial decline.

If the ETH price remains above the $130 support area, it could even make another attempt to try and clear the key resistance of $135 zone. The successful close of the price above this resistance level could later spark another rally in the short-term sessions. The next key resistance is close at $142 above which the bulls will likely aim a new $150 level test.

Further losses will speed up the decline and the price could test the $124 low. The hourly MACD for the ethereum price is losing momentum in the bullish zone while the RSI is correcting lower and is approaching the 50 levels. The clear break below the $132 level could lead the price to the $130 support while the 50% fib retracement level from the previous rise from the $124 low to the $135 high which is also close to the $130 level.