Ethereum it failed to stay above the support levels of $ 3.880 and $ 3.850, which were decisive in starting a new bull run. Conversely, ETH extended the decline and traded below the key support zone of $ 3.750.
Thereafter, ETH experienced a sharp move below the $ 3.700 level, with the price settling below the 100-hour simple moving average. It therefore traded up to $ 3.602 and is currently consolidating losses. Immediate upside resistance is near the $ 3.655 level, close to the 23,6% Fibonacci retracement level of the recent decline from $ 3.827 to the low of $ 3.602. The next major resistance is near the $ 3.715 level.
Technically, there is also a key bearish trend line forming with resistance near $ 3.715 on the hourly ETH / USD chart. The trend line is close to the 50% Fibonacci retracement level of the recent decline from $ 3.827 to $ 3.602 low. To initiate a decent recovery, the price must therefore overcome the resistance of $ 3.715.
In the case indicated, the price could rise towards the $ 3.850 level or the 100-hour simple moving average. Any other gains could send the price towards the $ 4.000 level.
Conversely, if Ethereum fails to initiate a new rise above the $ 3.715 level, then it may continue to move lower. A first bearish support is near the $ 3.600 level, a recent low. The first key support is forming near the $ 3.550 and $ 3.500 levels. A break down below the $ 3.550 and $ 3.500 levels could put a lot of pressure on the bulls and could cause the price to drop towards the $ 3.200 support zone in the near term.