Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Ethereum started a sharp downside correction below $1,200 against the US Dollar. ETH price is down 20%, but is approaching a crucial support at $1,000 and the 100 hourly simple moving average.
- Ethereum failed to stay above the $1,200 support and declined heavily below $1,150.
- The price is down 20%, and it is approaching the $1,000 support and the 100 hourly simple moving average.
- There was a break below a major ascending channel with support near $1,250 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is likely to find a strong support near the $1,000 zone and the 100 hourly SMA.
Ethereum Price Corrects Sharply
In the past two sessions, there was a strong downside correction in bitcoin and Ethereum below $38,000 and $1,100. ETH price failed to stay above the $1,200 support and declined heavily below $1,150.
There was a strong bearish wave after there was a close below the $1,200 level. More importantly, there was a break below a major ascending channel with support near $1,250 on the hourly chart of ETH/USD.
The pair even broke the 50% Fib retracement level of the key upward move from the $890 swing low to $1,351 high. Ether price is down 20%, and it is approaching the $1,000 support and the 100 hourly simple moving average.
Source: ETHUSD on TradingView.com
The 76.4% Fib retracement level of the key upward move from the $890 swing low to $1,351 high is also near the $1,000 level to act as a strong support. The 100 hourly simple moving average is also near the $1,000 zone to act as a strong support in the near term.
If ether price fails to stay above the $1,000 support and the 100 hourly simple moving average, there a risk of a drop towards the $900 support level in the coming sessions.
Fresh Increase in ETH?
If ethereum stays above the $1,000 support and the 100 hourly simple moving average, it could start a fresh increase. An initial resistance on the upside is near the $1,180 level.
The first key resistance is near the $1,200 level. A close above the $1,200 level may possibly push ether price back into a positive zone. In the stated case, it could revisit the $1,300 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining pace in the bearish zone.
Hourly RSI – The RSI for ETH/USD is currently below the 50 level, with a bearish angle.
Major Support Level – $1,000
Major Resistance Level – $1,200
