28-09-2016
01:43 am
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Ethereum Price Technical Analysis 03/23/2016 – Can Support Hold?




Ethereum price is currently trading near an important support area. A break below may call for more losses, else it might move back higher.
Ethereum Price Technical Analysis

Key Highlights

  • Ethereum price moved further higher intraday and traded near $12.20 where it found sellers and started to move down.
  • There was a bullish trend line formed on the hourly chart (data feed via Kraken), which was cleared during the downside move.
  • The price is currently trading near the 100 hourly simple moving average, which can be seen as a major short term support area.

Ethereum price is currently trading near an important support area. A break below may call for more losses, else it might move back higher.

Ethereum Price – Importance of 100 SMA

Ethereum price managed to move a few more points higher intraday, and traded as high as $12.19. However, ETH failed to sustain momentum, and started to move down. During the downside move, the ETHUSD pair also broke a major support area in the form of a bullish trend line formed on the hourly chart (data feed via Kraken). This is a short-term bearish sign for the bulls, but there is another aspect.

The price is currently holding the 100 simple moving average (hourly, data feed via Kraken), and we have seen time and again that the stated MA plays a major role. As long as it holds, there is a chance of ETHUSD moving back higher in the near term. Ethereum price is also around the 23.6% Fib retracement level of the last leg from the $8.00 low to $12.19 high, which is also a support area.

Ethereum Price Technical Analysis

A break below the 100 SMA could ignite more losses in ETH against the US Dollar. So, if you are planning to trade ETHUSD, then keep a close eye on the 100 hourly SMA.

Hourly MACD – The MACD may change the slope to the bullish area, which is a positive sign.

Hourly RSI – The RSI is below the 50 level, which means the bulls are struggling to gain control.

Intraday Support Level – $10.70

Intraday Resistance Level – $11.80

 

Charts courtesy of Kraken via Trading View

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Published by

Aayush Jindal

Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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