Ether’s price declined heavily below key supports against the US dollar and bitcoin. ETH/USD must stay above the $100.00 support to reduce chances of a break toward $85.00.
Ether’s price fell sharply and broke the $110.00 support level against the US dollar.
A connecting bearish trendline is formed with resistance at $105.50 on the 30-minute chart of ETH/USD.
ETH/BTC declined below the 0.0305BTC support and tested the 0.0300BTC zone.
Technically, the 2-hour chart indicators are gaining momentum in the bearish territory, with oversold signs.
Ether Price Analysis
In the weekly analysis, we discussed a few important supports for ETH/USD, such as $110.00, $105.00, and $100.00. The pair recently faced an increase in selling pressure, resulting in a drop below the $110.00 and $105.00 support levels.
ETH/BTC also followed a bearish structure and traded below the 0.0310BTC and 0.0305BTC support levels. The pair traded close to the 0.0300BTC support and is currently consolidating losses, with supports near 0.0300BTC and 0.0295BTC.
Looking at the 2-hour chart of ETH/USD, the pair broke the main support near the $115.00 level, opening the doors for an extended decline. Sellers gained momentum and were successful in pushing Ether below the $110.00 and $105.00 support levels.
The price declined more than 8 percent and traded to a new yearly low at $103.14. It is currently consolidating losses and may correct higher in the short term toward $105.00 or $108.00.
On the upside, there is a strong resistance formed near $105.00 and a connecting bearish trendline, with resistance at $105.50 on the 30-minute chart of ETH/USD. Should Ether break the trendline, the next stop could be close to the $110.00 level.
The next resistance might be the 50 percent Fibonacci retracement level of the recent decline from the $120.58 high to $103.14 low. However, the main resistance awaits at $115.00 (the previous key support).
On the downside, Ether is likely to find a strong buying interest near the $100.00 support. If sellers succeed in breaking the $100.00 support with a daily close, there are high possibilities of a drop toward $85.00 in the coming days.
Important Resistance Levels
$105.00 and $110.00
Important Support Levels
$102.00 and $100.00
The RSI is currently near the oversold levels.
The MACD is gaining momentum in the bearish zone.
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis. He strives to provide entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession and loves blogging.
ETHNews is commited to its Editorial Policy
Like what you read? Follow us on Twitter @ETHNews_ to receive the latest Ether Price, Ether Price Chart and Ethereum Analysis News.
The content on ETHNews.com is provided for informational purposes only and it is not intended to be, and does not, constitute financial advice or any other advice. You should not rely on any ETHNews.com content to make an investment decision. ETHNews.com is not responsible for any investment decision made by you. You are responsible for your own investment research and investment decisions.