Technical ETH Analysis Show Price Dropping By 5%, Testing $335 Support

The technical ETH analysis shows that the price dropped by 5% after breaking the key support level of $350 and is now testing the $335 support remaining at risk of more losses so let’s read more in our latest Ethereum news.

Ethereum failed to surpass the main $355 resistance zone and dropped by 5% while the price started trading close to the $335 support and is well below the 100 hourly simple moving average. There was also a break below the key contracting triangle at the $352 support on the hourly charts of the pair. ETH/USD could recover higher as long as the buyers are able to protect the $335 support. ETH made a couple of attempts to clear the $355 resistance zones but then failed to gain bullish momentum as the price topped close to the $355 level and started a sharp decline by 5%.

The decline started after the break below of a key contracting triangle with support at the $352 level on the hourly charts while the price gained pace below the $350 support and the 100 hourly simple moving average. The price spiked a little over the key level of $335 and traded as low as $333. It is now correcting higher and trading above the $335 level. Ether is testing the 23.6% fib retracement level from the downward move at $355 high to $33 low. The first key resistance is close to the $342 level or the 50% fib retracement level from the $355 high to $333 low. the main resistance for the pair is now forming at the $350 level and the 100 hourly simple moving average. In order to start a fresh increase, the buyers will have to gain strength above these levels and break near the $355 level.

The technical ETH analysis shows that ethereum could start another recovery wave above $342 resistance but there are more risks of more losses as well. The main breakdown support for ETH is close to the $335 zone while the daily close below the $335 support will lead the coin below $330 and will spark more losses. The next major support is close to the $320 level below which it could revisit the $305 level. The hourly RSI for the pair is now well below the 40 levels with no recovery signs in sight. The major support level is set at $335 while the major resistance level is set at $342.