29-03-2017
04:38 pm
=

Ethereum Price Technical Analysis – ETH/USD Nosedives Below $11.00




Ethereum price declined sharply as two Bitcoin exchanges in China suspended withdrawals. ETH/USD is under heavy pressure, and may decline further.
Ethereum Price Technical Analysis

Key Highlights

  • ETH price after initiating a break yesterday at $11.30 against the US Dollar started a downtrend.
  • Yesterday’s highlighted bearish trend line on the hourly chart of ETH/USD (data feed via SimpleFX) acted as a barrier at $11.20 and pushed the price down.
  • The price traded sharply lower, and also broke the last swing low at $10.80.

Ethereum price declined sharply as two Bitcoin exchanges in China suspended withdrawals. ETH/USD is under heavy pressure, and may decline further.

Ethereum Price Decline Initiated

Yesterday, there were signs of a downtrend in ETH price against the US Dollar, as the price broke the $11.30 support. A downtrend was initiated, which got strength later on to break many support levels like $11.00. The most important break was below the $10.80 pivot. It means there are chances of additional losses in ETH/USD in the near term towards $10.00.

There was a bearish trend line highlighted on the hourly chart of ETH/USD (data feed via SimpleFX) yesterday at $11.20. It acted as a perfect hurdle, and pushed the price below $10.80. A new low was formed at $10.24. Later, there was a recovery initiated, but might not last long. It traded above the 23.6% Fib retracement level of the last decline from the $11.38 high to $10.24 low.

Ethereum Price Technical Analysis

However, the upside found resistance near the 50% Fib retracement level of the last decline from the $11.38 high to $10.24 low. So, the $10.80 level, which was a support earlier now acted as a resistance. The price has already started moving down once again and traded below $10.70. If the current momentum stays intact, there are chances of more losses in ETH towards $10.20.

Hourly MACD – The MACD has moved sharply in the bearish slope.

Hourly RSI – The RSI has recovered from the oversold levels, but still below the 50 level.

Major Support Level – $10.20

Major Resistance Level – $10.80

 

Charts courtesy – SimpleFX

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.

SUBSCRIBE TO OUR NEWSLETTER