Technically, the 2-hours chart indicators are gaining strong bearish momentum, which may ignite further declines in ETH/USD.
Ether Price Aiming Fresh Lows?
Yesterday, the Federal Reserve Bank fulfilled the market expectation, and increased the interest rates from 0.5% to 0.75%. It ignited a strong dollar buying interest, which in turn sparked a downside move in ETH/USD.
Ether price was seen struggling yesterday as well when I highlighted a possible downside break on the 2-hours chart against the US Dollar. The break was successful, and once there was a close below the bullish trend line support, Ether sellers gained momentum.
There was a sharp downside move, breaking the 61.8% Fibonacci retracement of the last wave from the $8.02 low to $8.62 high. The ETH/USD pair is currently trading near a monster support area at $8.00.
The highlighted support holds a lot of value, as it prevented downsides earlier as well. So, there is a chance of Ether price recovering from the stated support.
If that happens, then an initial resistance on the upside could be around $8.10. Looking at the 30-min chart, the mentioned level was a support earlier and may now act as a resistance.
Above $8.10, there is a bearish trend line waiting on the same chart at $8.2 to act as a barrier for upsides. The stated level also represents the 38.2% Fibonacci retracement level of the recent decline from the $8.53 high to $7.94 low.
Overall, we need to see if there is a proper close below $8.00 or not. If there is a close, the ETH/USD pair may attempt to post more losses.