TA: Why Ethereum (ETH) Below $3K Could Spark Larger Degree Correction

Ethereum extended its decline below the $3,120 support against the US Dollar. ETH price even spiked below $3,000 and it remains at a risk of more downsides. Ethereum started a major decline below the $3,200 and $3,120 support levels. The price is now trading below $3,100 and the 100 hourly simple moving average. There was a break below a key contracting triangle with support near $3,150 on the hourly chart of ETH/USD (data feed via Kraken). The pair could continue to move down if there is a close below the $3,000 support. Ethereum Price Extends Losses Ethereum failed to stay above the $3,120 support and extended its decline, similar to bitcoin. ETH price broke the $3,050 support zone and the 100 hourly simple moving average to move further into a bearish zone. There was also a break below a key contracting triangle with support near $3,150 on the hourly chart of ETH/USD. The pair even spiked below the $3,000 level and traded as low as $2,950. It is now correcting losses and trading above the $3,000 level. There was a break above the 23.6% Fib retracement level of the recent decline from the $3,282 swing high to $2,950 low. On the upside, an initial resistance is near the $3,075 level. Source: ETHUSD on TradingView.com The first key resistance is now forming near the $3,120 level (the recent breakdown zone). It is near the 50% Fib retracement level of the recent decline from the $3,282 swing high to $2,950 low. A clear break an...