Ethereum Price Key Highlights
- The downtrend on ethereum price action appears to be slowing down, as bears don’t seem to be too eager to take it down to new lows.
- After breaking below the earlier triangle consolidation pattern, ethereum price seems to be losing momentum and might be in for a short squeeze around the recent levels.
Ethereum price might need to make a correction from its recent drop in order to draw more sellers to push for new lows.
RSI Bullish Divergence
Technical indicators appear to be showing that a rally is about to take place, as RSI is reflecting downtrend exhaustion. The indicator also formed a bullish divergence with its higher lows while price formed lower lows.
A rally might last until the area of interest at 0.00190BTC, which is near the 100 SMA. This short-term moving average is below the longer-term 200 SMA, indicating that the selloff might resume at some point. Sellers are probably just waiting to re-establish their short positions at better prices instead of waiting for a breakdown.
Meanwhile, stochastic is still pointing down, suggesting that bearish pressure could pick up and push for a break below the previous lows at 0.00180BTC. If so, ethereum price could gain additional momentum, possibly taking it down to the next likely support at 0.00170BTC.
Intraday support level – 0.00180BTC
Intraday resistance level – 0.00190BTC
Charts from TradingView