Ethereum price falls to a major support area after bears reject advances above $400

Ethereum's technicals deteriorate. The token failed to defend $400, the level traders had marked as significant resistance. On the daily chart, the token faces risk of breaking below its 20-day simple moving average, which would send it toward the $380 to $350 support zone. Already on the 4-hour timeframe, Ethereum has slipped below its 20, 50, and 100 exponential moving averages. The RSI has turned in favor of the bears.

If selling persists, the first meaningful support sits at the 100-SMA near $378.93, with the 50-SMA near $377.45 just below. Should those levels break, the 100-SMA around $371.38 becomes the next barrier. A 5% drop from current prices could draw additional sellers aiming to retest the $350 area. To reach that target, bears must overcome the 50% Fibonacci retracement level near $365.21, where the daily 100-EMA sits as support.

The bull case rests on one factor: anticipation of the ETH 2.0 upgrade. Traders expecting the network change see a reason to hold positions. Should buyers regain control, the 38.2% Fibonacci retracement at $395 becomes the next resistance level. Buyers would need to break through $400, a round number traders monitor closely, to reach $415 and the 23.6% Fibonacci retracement level at $430.