Understanding Ethereum's Price Dynamics

Ethereum's price faces obstacles in surpassing the $3,720 resistance mark, signaling a potential downtrend below the critical $3,550 support level.

• An initiation of a fresh decline from the $3,720 zone led the price below $3,650 and the 100-hourly Simple Moving Average.
• Notably, a significant bearish trend line with resistance hovering near $3,680 is materializing on the ETH/USD hourly chart.
• The breach of the $3,550 support could trigger further downward movements.

Current Price Scenario

In alignment with Bitcoin, Ethereum encountered challenges in exceeding the $3,650 resistance threshold. Despite momentarily breaching $3,700, selling pressure dominated.

The price peaked at $3,710 before plummeting, experiencing sharp drops below the $3,660 and $3,650 levels.

Subsequently, a stabilization phase ensued near $3,565. Presently, Ethereum lingers below $3,650 and the 100-hourly Simple Moving Average.

In the event of a recovery phase or a price surge, resistance near the 23.6% Fib retracement from the $3,710 peak to $3,565 low could hinder upward movements, with primary resistance situated at $3,640.

A crucial bearish trend line is manifesting with resistance near $3,680 on the ETH/USD hourly chart, aligning with the 61.8% Fib retracement from $3,710 to $3,565.

A breakthrough above the $3,680 resistance could stimulate an upward price momentum, aiming for essential resistance levels at $3,720 and potentially $3,750.

In the event of Ether's surge above $3,750 driven by bullish sentiments, the price may escalate towards the $3,800 resistance landmark, potentially targeting $3,880.

Potential Downtrends for ETH

In case Ethereum fails to surpass the $3,650 obstacle, a continuous downtrend may transpire. Initial support near $3,550 and a pivotal support barrier at $3,520 come into play.

The primary support rests at $3,500. A distinct breach of this level could steer the price towards $3,320, with further downturns potentially edging towards the $3,250 mark imminently.

Technical Review

• MACD Assessment: The MACD for ETH/USD signals bearish momentum.
• RSI Analysis: The RSI for ETH/USD is currently positioned below the 50 threshold.
• Key Support Level: $3,550
• Key Resistance Level: $3,650