Ethereum price saw a substantial decline and fell below the $2,550 mark. Ethereum might initiate another surge if it maintains its position above the $2,400 support zone. A significant drop was observed below the $2,650 and $2,550 benchmarks, positioning the price beneath the 100-hourly Simple Moving Average.
There is a crucial bearish trend line forming resistance at $2,575 on the hourly chart of ETH/USD, as per Kraken data. However, the potential for a recovery wave persists if Ethereum remains above the $2,400 support level.
Ethereum experienced a 10% dive, pushing its price below $2,650 and further down past the $2,550 and $2,500 support levels, similar to Bitcoin's performance. It even dropped momentarily below the critical $2,400 mark, creating a low at $2,394 before stabilizing to consolidate its losses.
A minor recovery occurred above $2,420 and $2,440, aligning close to the 23.6% Fib retracement level of the drop from the $2,820 swing high to the $2,394 low. If a recovery wave unfolds, $2,500 and $2,550 levels, along with the key bearish trend line near $2,575, serve as major resistances.
Failing to overcome $2,500 resistance could see Ethereum continuing its downward trend. Initial support is pegged at $2,420, with significant backing at $2,400. A clear break below this support might trigger further slides toward $2,350. More substantial losses could send Ethereum toward the $2,220 support level or even lower to $2,150.
The MACD for ETH/USD is indicating increased bearish momentum, with the RSI also positioned below the 50-zone. Key technical levels to watch are $2,400 for support and $2,550 for resistance.
