Caution Against Chasing ETH Higher due to Key Risks in Ethereum Price Prediction

Caution Against Chasing ETH Higher due to Key Risks in Ethereum Price Prediction

The Struggle of Ethereum Price Below $1,920


The blockchain industry has witnessed significant growth and popularity in recent years. Among the various cryptocurrencies, Ethereum has emerged as one of the leading platforms, offering a wide range of decentralized applications (DApps) and smart contracts. However, the price of Ethereum has been struggling to clear the $1,920 resistance against the US Dollar, raising concerns about its future trajectory.

Ethereum Price Analysis

Ethereum’s price attempted to surpass the $1,900 level, aiming to break above the $1,920 resistance. However, it failed to gain traction and reacted similarly to Bitcoin, leading to a downside movement. The price declined below the $1,885 level but managed to remain stable above $1,875. Currently, Ethereum is trading in a range above this level, indicating a consolidation phase.

Key Support and Resistance Levels

There is a key rising channel forming with support near $1,885 on the hourly chart of ETH/USD. This channel acts as a crucial support level, indicating that a break below it may result in bearish momentum. Additionally, Ethereum is trading below $1,910 and the 100-hourly Simple Moving Average, further adding to the resistance.

On the upside, immediate resistance is near the $1,900 level, close to the 50% Fibonacci retracement level of the recent decline from the $1,927 swing high to the $1,877 low. The first major resistance is near the $1,910 level or the 61.8% Fibonacci retracement level. If Ethereum manages to surpass this level, it may test the main resistance at $1,920. Beyond this, the next major resistance lies near the $1,940 level, and any further gains could potentially push Ether toward the $2,000 resistance in the near term.

Potential Downside Scenario

If Ethereum fails to clear the $1,920 resistance, it could continue its downward movement. The initial support on the downside is near the $1,885 level and the channel trend line. A break below this level might trigger bearish momentum, potentially leading to more substantial losses.

The first major support level is near $1,875, which, if breached, could intensify the bearish sentiment. The subsequent significant support lies near the $1,825 level. A downside break and close below $1,825 might push the price toward the $1,770 level, while further losses could open the doors for a move toward the $1,720 support level.

Technical Indicators

Analyzing the technical indicators can provide additional insights into the market sentiment for Ethereum.

  • Hourly MACD: The MACD for ETH/USD is currently losing momentum in the bearish zone, suggesting a potential continuation of the downward movement.

  • Hourly RSI: The RSI for ETH/USD is now above the 50 level, indicating a relatively neutral stance.


The struggle of Ethereum’s price below the $1,920 resistance level reflects the ongoing market dynamics and investor sentiment. While there are attempts to break above this resistance, the current consolidation phase and key support and resistance levels indicate a delicate balance between bullish and bearish forces.

Understanding the technical indicators and closely monitoring the price movement can provide valuable insights for traders and investors in navigating the volatile blockchain market. As the industry continues to evolve, it is essential to stay informed and make well-informed decisions based on a comprehensive analysis of the blockchain ecosystem.