Ethereum price extended its decline below $3,500. ETH is showing a few bearish signs and there could be a drop toward the $3,200 support zone. Ethereum started a downside correction below the $3,550 zone. The price is trading below $3,550 and the 100-hourly Simple Moving Average. There is a major bearish trend line forming with resistance at $3,520 on the hourly chart of ETH/USD (data feed via Kraken). The pair could resume its decline if it stays below the $3,520 and $3,550 resistance levels. Ethereum Price Breaks Support Ethereum price started a downside correction below the $3,720 and $3,650 levels, like Bitcoin. ETH declined below the $3,550 support level to move further in a short-term bearish zone. Finally, the price traded below the $3,420 support. A low was formed at $3,365 and the price is now consolidating losses. It is showing a few bearish signs below the 23.6% Fib retracement level of the downward move from the $3,675 swing high to the $3,365 low. Ethereum price is now trading below $3,550 and the 100-hourly Simple Moving Average. On the upside, immediate resistance is near the $3,440 level. The first major resistance is near the $3,520 level. There is also a major bearish trend line forming with resistance at $3,520 on the hourly chart of ETH/USD. The trend line is close to the 50% Fib retracement level of the downward move from the $3,675 swing high to the $3,365 low. The next major resistance is near $3,600, above which the price might gain bullish momentum. Source: ETHUSD on TradingView.com In the stated case, Ether could rally toward the $3,650 level. If there is a move above the $3,650 resistance, Ethereum could even rise toward the $3,825 resistance. Any more gains might call for a test of $4,000. More Downsides In ETH? If Ethereum fails to clear the $3,520 resistance, it could continue to move down. Initial support on the downside is near the $3,365 level. The first major support is near the $3,320 zone. The next key support could be the $3,250 zone. A clear move below the $3,250 support might send the price toward $3,200. Any more losses might send the price toward the $3,150 level. Technical Indicators Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone. Hourly RSI – The RSI for ETH/USD is now below the 50 level. Major Support Level – $3,365 Major Resistance Level – $3,520
