Analysis Technical

Ethereum Price Analysis: ETH/USD’s Double Top Active

Aayush Jindal | June 5, 2018 | 5:30 am
technical analysis ethereum
Analysis

Ethereum Price Analysis: ETH/USD’s Double Top Active

Aayush Jindal | June 5, 2018 | 5:30 am

Key Highlights

  • ETH price formed a double top pattern and broke a key support at $600 against the US Dollar.
  • Yesterday’s highlighted important bullish trend line was breached at $615 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair is likely to complete the double top pattern near the $568-570 support area in the near term.

Ethereum price is under selling pressure against the US Dollar and Bitcoin. ETH/USD could slide further if it fails to hold the $570 support.

Ethereum Price Decline

Yesterday, we saw a short-term top near $637 in ETH price against the US Dollar. More importantly, the price formed a double top pattern near the $635-637 zone. The price started a downside move and broke a few important supports such as $620 and $600. During the decline, there was a break below the 50% Fib retracement level of the last leg from the $562 low to $637 high.

Moreover, yesterday’s highlighted important bullish trend line was breached at $615 on the hourly chart of ETH/USD. The pair settled below the $600 support and the 100 hourly simple moving average. It seems like the highlighted double top pattern played well in pushing the price below $600 and $590. There was even a break below the 61.8% Fib retracement level of the last leg from the $562 low to $637 high, which is a bearish sign. The next major support for buyers is near the $570 and $565 levels. Below the stated $565, the price may perhaps revisit the $540 support zone.

Ethereum Price Analysis ETH USD

Looking at the chart, the price is struggling to recover above $600 and the 100 hourly SMA. Therefore, there are chances of more declines towards $565. However, the current move can be seen as a part of a correction from $637 and the price might climb back higher.

Hourly MACD – The MACD has moved back in the bearish zone.

Hourly RSI – The RSI is near the oversold levels at 25.

Major Support Level – $570

Major Resistance Level – $600

Tags: , , , , , , , , ,    

NewsBTC is a news service that covers bitcoin news, technical analysis & forecasts for bitcoin and other altcoins. Here at NewsBTC, we are dedicated to enlightening people all around the world about bitcoin and other cryptocurrencies. We cover news related to bitcoin exchanges, bitcoin mining and price forecasts for various virtual currencies.

Casinos

Choose from the top online casinos
in UK and enjoy the fun!

Read More  ›

We use cookies to give you the best online experience. By agreeing you accept the use of cookies in accordance with our cookie policy.