Ethereum Price Diving: Can Bulls Save This Key Support?

Ethereum extended its decline below the $140 support versus the US Dollar, while bitcoin dived below $8,000. ETH bulls must protect the $135 support to start a decent recovery.Ether price failed to recover and declined further below $140 against the US Dollar.The price is currently approaching the main $135 support and pivot area.There is a new connecting bearish trend line forming with resistance near $138 on the hourly chart of ETH/USD (data feed via Kraken).The pair could decline heavily if it fails to stay above the $135 and $132 support levels.Ethereum Price Turns RedRecently, Ethereum started a downside correction below the $142 support against the US Dollar. However, it seems like there are bearish signs emerging after ETH failed to stay above the $140 support.Similarly, bitcoin is gaining bearish momentum and now trading well below $8,000. Ripple price is also diving and it is now at a risk of a break below the $0.2000 support area.The recent decline in Ethereum took its price towards the $135 support area. The price also settled below the $140 level and the 100 hourly simple moving average. A low is formed near $135 and the price is currently consolidating losses.An initial resistance is near the $138 level. Besides, the 23.6% Fib retracement level of the recent slide from the $148 high to $135 low is also near $138.More importantly, there is a new connecting bearish trend line forming with resistance near $138 on the hourly chart of ETH/USD. To start a decent recovery, Ethereum must surpass the trend line, $140, and the 100 hourly SMA.The next resistance could be near the $142 level. It is close to the 50% Fib retracement level of the recent slide from the $148 high to $135 low. Therefore, a successful close above the $142 level might start a new uptrend and the price could continue higher towards $148 and $150.What If ETH Fails to Stay Above $135?On the downside, the $135 area is a crucial support for ETH. Therefore, a bearish breakdown below the $135 support could start a strong downtrend below $132 and $130 in the near term.Ethereum PriceLooking at the chart, Ethereum price is approaching the main $135 support. It might attempt a decent recovery above $142 and $145. If not, it could dive further and revisit the $125 zone.Technical IndicatorsHourly MACD The MACD for ETH/USD is not showing any positive signs.Hourly RSI The RSI for ETH/USD is now below the 50 level, with a bearish angle.Major Support Level – $135Major Resistance Level – $142

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