Ethereum Price Retreats: Market Sentiment Slowly Shifts Bearish

As a seasoned crypto investor with a few years of experience under my belt, I’ve seen Ethereum’s price behavior many times before. The recent surge above the $3,550 resistance was promising, but the failure to break through the $3,620 and $3,650 levels is a concerning sign.


Ethereum‘s price found it challenging to surpass the $3,650 barrier and scaled back its advances. The cryptocurrency now indicates a potential drop and could dip beneath $3,450.

    Ethereum is trimming gains from the $3,620 resistance zone.
    The price is trading below $3,550 and the 100-hourly Simple Moving Average.
    There was a break below a short-term rising channel forming with support at $3,540 on the hourly chart of ETH/USD (data feed via Kraken).
    The pair could gain bearish momentum if it dips below the $3,485 and $3,450 support levels.

Ethereum Price Trims Gains

The cost of Ethereum began a notable climb, rising above the $3,500 threshold. Ethereum demonstrated stronger growth than Bitcoin, shattering the resistance at $3,550. Yet, despite this progress, Ethereum’s price was unable to breach the $3,620 mark and did not challenge the $3,650 level.

At a peak of $3,620, a new high was established, but the price is currently pulling back and shedding some of its gains. There was a small decrease in value, dropping below the $3,550 mark. The price momentarily sank beneath the 23.6% Fibonacci retracement line, which represents the downward correction from the previous low of $3,351 to the recent high at $3,620.

On the hourly chart of Ethereum against the US Dollar, a short-term rising trendline, which acted as support at $3,540, was breached. Ethereum is currently priced below $3,550 and remains under the 100-hour Simple Moving Average.

Near the $3,485 mark and the 50% Fibonacci retracement point of the bullish rally from $3,351 to $3,620, the bulls are currently showing signs of activity. If the price continues to climb, it could encounter resistance at around $3,520. The first substantial resistance lies at approximately $3,560.

As a researcher studying the price movements of Ether, I’ve identified two significant resistance levels. The first one is at $3,620 or $3,650, where the price has been encountering strong opposition. If Ether manages to breach above this resistance, it could potentially lead to further gains. The second key resistance lies at $3,720, surmounting which could provide the necessary momentum for the price to rise towards the $3,750 level. Any additional upward movement might propel Ether towards the $3,880 resistance zone in the near future.

More Downsides In ETH?

As an analyst, I would interpret the current situation for Ethereum as follows: If Ethereum is unable to surpass the resistance level at $3,560, it may trigger another round of declines. Should this occur, initial support can be found around $3,485. However, a more substantial support lies at $3,450.

If the price falls significantly below the $3,450 mark of support, it could potentially lead to a drop in value towards $3,420. Continued losses may cause the price to trend downward, approaching the nearby resistance at $3,350.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.

Hourly RSI – The RSI for ETH/USD is now below the 50 zone.

Major Support Level – $3,450

Major Resistance Level – $3,560

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2024-06-21 06:40