Ethereum Price Weekly Analysis – ETH/USD Breakdown Looks Real

Key Highlights

• ETH price after moving above the $310 level faced sellers and started a downside move.
• There are two major bearish trend lines forming with resistances as $252 and $288 on the 4-hours chart of ETH/USD (data feed via SimpleFX).
• The pair is likely to extend its decline below the $229 low and trade towards the swing low of $202.

Ethereum price is moving lower and following a bearish path against the US Dollar and Bitcoin. ETH/USD may now head further lower towards $210-200.

Ethereum Price Decline

This past week was mostly bearish for ETH price as it moved below $260 against the US Dollar. The top placed at $316.85 ignited a major downside move. The price is following a major bearish path, and currently trading below the $260 support and the 100 simple moving average (H4). There was also a break below the 50% Fib retracement level of the last wave from the $202.35 low to $316.85 high. It is a clear sign that there are chances of a complete retest of $202.35 in the near term.

On the upside, there are two major bearish trend lines forming with resistances as $252 and $288 on the 4-hours chart of ETH/USD. The first trend line can be considered as a short-term pivot above $250. The second one is mainly the bearish trend holder below $300. An intermediate resistance is around the 100 simple moving average (H4) at $273. So, it looks like a recovery won’t be easy for ETH above $280-300 in the near term.

At the moment, it is holding the 76.4% Fib retracement level of the last wave from the $202.35 low to $316.85 high. A break and close below the same could ignite a downside move towards $202.35 in the near term.

4-hours MACD – The MACD is in the bearish zone and signaling negative bias.

4-hours RSI – The RSI is recovering from the 30 level.

Major Support Level – $225.00

Major Resistance Level – $285.00

 

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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