Ethereum's price has been struggling to break above the $2,680 resistance level, leading to a decline. The cryptocurrency is currently consolidating its losses and remains vulnerable to further drops, potentially falling below $2,500.
The price failed to maintain momentum above $2,680, mirroring Bitcoin's trend, and initiated a fresh decline. ETH dropped below the $2,620 and $2,600 levels.
The bears pushed the price below $2,600, and there was a break below a bullish trend line with support at $2,540 on the hourly chart of ETH/USD. The pair tested the $2,450 zone and entered a consolidation phase.
A minor increase occurred above the 23.6% Fib retracement level of the downward move from the $2,679 high to the $2,455 low. Ethereum is now trading below $2,550 and the 100-hourly Simple Moving Average.
On the upside, resistance is near $2,540, with the next key resistance at $2,565, close to the 50% Fib retracement level. The first major resistance is near $2,620.
A clear break above $2,620 could push the price towards $2,680. A successful break above $2,680 might lead to further gains, potentially reaching $2,800 or even $2,880 in the near term.
If Ethereum fails to surpass the $2,540 resistance, a new decline could begin. Initial support is near $2,500, with the first major support at $2,450.
A break below $2,450 might push the price towards $2,320. Further losses could lead to a test of the $2,240 support level, with the next key support at $2,150.