Ethereum Price Weekly Analysis – ETH/USD Testing Crucial Support

Key Highlights

  • Ethereum price declined heavily versus the US Dollar, but currently trading near a crucial support.
  • There is a critical bullish trend line formed on the daily chart of ETH/USD (data feed via SimpleFX), which may stop the downside going forward.
  • The 100-day simple moving average is also on the downside to act as a support area.

Ethereum price was under a lot of bearish pressure against the US dollar, and currently the bulls are fighting around a major support.

Ethereum Price Trend

Ethereum price ETH after staying above the $13.00 level against the US Dollar for some time, moved down and declined heavily. There was a solid downside move, which caught the ETH buyers by surprise. They were outpaced by the sellers, as the price declined below the $13.00 handle. The price also failed near the 50% fib retracement level of the last drop from the $14.26 high to $12.26 low lately, which ignited a downside move.

The price is currently trading near a critical bullish trend line formed on the daily chart of ETH/USD (data feed via SimpleFX). It may act as a monster support area on the downside, and might produce a bounce. Another important point is the fact that the 100-day simple moving average is also on the downside. So, we can say that the price is trading near a major support area on the daily timeframe chart.

Ethereum Price Weekly AnalysisEthereum Price Weekly Analysis

However, it won’t be easy for the ETH bulls to take the price higher. On the upside, the 50% fib retracement level of the last drop from the $14.26 high to $12.26 low may continue to act as a resistance. I think we can see some more losses before the price can start a consolidation phase.

Daily MACD – The MACD is not showing any major bearish sign, which is good for the bulls.

Daily RSI – The RSI is currently above the 50 level, and may stay above it.

Major Support Level – $12.00

Major Resistance Level – $13.50

 

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.

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