ETH/USD at Risk of Further Declines
|Ether price continued to face selling pressure against the US Dollar and Bitcoin, and posted intraday losses.|
|The ETH/USD pair traded below the last swing low to form a new monthly low of $8.71.|
|It appears that Ether price may extend the current downside move and trade towards $8.50.|
Technically, the 4-hours chart indicators are extremely bearish and signaling additional declines.
Ether Price Trend
It looks like the Ether sellers do not want to give up, as the price declined further against the USD and BTC. The ETH/USD pair even broke the last support to form a new monthly low of $8.71.
The current trend is clearly bearish, and it may continue in the near term since there are no signs of a recovery in Ether price. The ETH/USD pair at the moment trading just above the $8.70 level, which is acting as a support.
One thing to note, there is a bearish trend line formed on the hourly chart, which is acting as a resistance and pushed the price down every time there was an attempt to correct higher.
An initial resistance on the upside is now at $9.00, which is near the trend line and the 23.6% Fib retracement level of the last decline from the $9.77 high to $8.71 low.
A break above it would be very difficult until the Ether buyers succeed in preventing a break below $8.70. If there is a close below $8.70, the price may easily head towards $8.50.
The 4-hours chart of ETH/USD is displaying a strong bearish trend with resistances on the upside at $9.0 and $9.50. Any attempt of recovery by Ether price may find hurdles on the upside. So, if you are looking to buy ETH, then be careful in the short term until there is a proper support formed.