Once again, Ethereum’s price versus the US dollar struggled to break beyond the $1,640 barrier. The Ethereum price is correcting down and is still vulnerable to breaking below the $1,550 level of support. The price of Ethereum began a solid upswing once it broke above the $1,600 resistance mark. Ethereum made another effort to break above the $1,640 resistance zone, but the bears were able to prevent any further gains.

The market made a new high close to $1,639 and has since begun correcting lower. Prices dropped below $1,600 and the 100-hourly simple moving average. The current drop is below the 50% Fibonacci retracement level of the most recent leg from the $1,518 swing low to the $1,639 high.

However, buying pressure was seen around the $1,550 level. Price action kept it above the 61.8% Fib retracement line of the most recent leg from the $1,518 swing low to the $1,639 high.

Ether’s price has dropped below $1,600 and the 100 hourly SMA. Near the $1,590 price point, there’s some stiff competition. On the hourly chart, ETH /USD is building a major contracting triangle with resistance near $1,590.

Near the $1,640 level is where you’ll find the next chunk of resistance. A significant upswing might get underway if prices are able to break out over the $1,640 barrier level. For the reasons given, it is possible that the price will increase until it reaches the $1,720 resistance level.

Ethereum’s price may continue to fall if it is unable to break down the $1,600 barrier level. The bottom trend line of the triangle, or around $1,550, provides initial support below.

The $1,520 area is the next key support level. The $1,450 support level might be reached if the price drops below $1,520. It’s possible that if losses continue, the $1,365 area may be tested again.