Ethereum Price Could Nosedive Before Fresh Increase To $2,000

Key Takeaways:

• Ether’s price struggles to clear the $1,880 and $1,920 resistance levels.
• ETH/USD trades inside a contracting triangle with resistance near $1,860 on the 4-hour chart.
• The price could dive toward the $1,700 level before it starts a strong increase.

NEW DELHI (CoinChapter.com) — Ethereum’s ETH shows a few bearish signs below $1,900. The price is still at risk of a sharp decline toward $1,700 before the bulls take a stand.

Ethereum Price (ETH) Remains At Risk

Ethereum made a few attempts to clear the $1,900 and $1,920 resistance levels against the US dollar in the past few days. However, the ETH/USD pair failed to settle above the $1,900 pivot.

The recent high was around $1,898 before the price started declining. There was a move below the $1,880 and $1,860 levels. The bears pushed the price below the 50% Fib retracement level of the upward move from the $1,779 swing low to the $1,898 high.

The price now trades below the $1,860 level and the 50 Simple moving average (4 hours, blue). It is also showing a few bearish signs, similar to Bitcoin.

ETH trades inside a contracting triangle with resistance near $1,860 on the 4-hour chart. If Ethereum remains below the $1,880 level, there could be more losses. Immediate support is seen near the $1,820 level or the 61.8% Fib retracement level of the upward move from the $1,779 swing low to the $1,898 high.

The next major support is near the $1,780 level. The main support sits at $1,760. If a move is below $1,700, there is a risk of an extended decline. In this scenario, the price may perhaps test the $1,720 support. Any more losses below $1,700 could send the price toward the $1,640 zone.

Rally to $2,000?

Conversely, Ethereum might attempt another increase above the $1,850 resistance. The next major resistance is near the $1,880 level.

The main resistance sits near the $1,920 level. A close above the $1,920 resistance might start a new rally. In the stated case, Ethereum could rise toward the $2,000 resistance. In the stated case, there are chances of a rally toward the $2,150 resistance. Any more gains could send the ETH price toward the $2,250 level.

Overall, Ether’s price faces many hurdles below the $1,920 level. If the bulls take a back step, the price could take a hit and drop toward $1,700. On the other hand, it could rise toward $2,000.