The price of Ethereum continued its descent lower, falling further below the $1,640 support. The price of ETH fell as low as $1,620 and even approached the $1,600 barrier before recovering. A low was established close to $1,596 and the price began an ongoing ascent, very much like bitcoin did.
A decisive break out to the upside occurred over the resistance levels of $1,635 and $1,640. On top of that, there was a break above a big descending channel on the hourly chart of ETH/USD, and there was resistance about $1,635 in that area.
The price of ether rose over the 50% Fib retracement level of the decline that began from the swing high of $1,720 and ended at the low of $1,596. At the moment, it is trading at a price only slightly higher than $1,650 and the 100 hourly simple moving average.
When moving in an upward direction, the price is encountering opposition close to the 1,670 mark. It is currently located close to the 61.8% Fib retracement level of the decline that began at the swing high of $1,720 and ended at the low of $1,596. The first significant obstacle is located close to the zone of $1,700. The next significant barrier to overcome is located close to the zone about $1,720.
If the price is able to break through the resistance zone at $1,720, then it will begin its ascent toward the level of $1,780. Should there be any further increases, it might pave the way for a move closer to the $1,850 mark.
In the event that ethereum is unable to break below the resistance level of $1,700, another downward drop is possible. At the level of $1,650 and the 100 hourly simple moving average is where initial support on the downside might be found.
The region around $1,620 is the next important area of support. It is possible that the price will continue to fall until it reaches the support at $1,600 if there is a break below $1,620. Should there be any more losses, the level at $1,535 could be put to the test.
