Ethereum market update: ETH/USD struggling with a lower high pattern
|- Ethereum manages to stay above $200 and $205 support areas despite heavy correction on the market.
- Consolidation between $205 and $215 range is supported technically.
Ethereum was easily among the best performing cryptocurrencies last week. Besides, rising to a one-month high around $225, the buyers nagged to defend the critical $200 support building bear pressure cross the market. Several support areas failed to rise to the occasion including $2015 and $210. However, coming out strongly were both the support areas at $205 and $200.
Looking at the hourly chart for ETH/USD trading pair, the price is likely to remain mundanely lethargic in a range between $205 and $215. The moving average convergence divergence (MACD) is stuck in the negative side of the zero line. A slightly bullish divergence is visible but the trend of the relative strength index suggests that the bears have more influence. The RSI has failed twice to break above the average. It is holding ground at 42.42 moving in a horizontal direction.
This means that consolidation within the above-mentioned range is to take center stage in the coming sessions. Moreover, the Bollinger Bands show that volatility levels have greatly reduced. Moreover, limiting the upside is 50 simple moving average currently forming a confluence with the BB upper curve. The 100 SMA will limit gains at $213.98 in addition to the descending trendline resistance.
ETH/USD one-hour chart
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