Ethereum price analysis: ETH/USD in retreat, discouraged by a failure at $300

  • ETH/USD bulls still struggle at psychological $300.
  • The sell-off may continue towards the lower line of daily Bollinger Band.

Ethereum, the second largest cryptocurrency with the current market capitalization of $30.5 billion, has lost over 4$ in recent 24 hours amid global sell-off on the cryptocurrency market. A failure to move above $300 handle emboldened the bears and pushed the price towards the intraday low of $280.18. At the time of writing, ETH/USD is changing hands at $285, moving within the short-term downside trend.

Ethereum's price analysis

ETH/USD sits below the short-term upside trendline (currently at $287). A sustainable move above this level will mitigate the immediate bearish pressure and allow for another attempt at $300. A confluence of strong technical indicators located in approach to this level includes SMA50 (Simple Moving Average)and SMA100 on 4-hour chart, SMA200 and the upper line of the Bollinger Band on 1-hour chart. 

This barrier is closely followed by $303.50, that limited Ethereum's recovery two days in a row. An upper line of 4-hour Bollinger Band on the 4-hour chart makes it even stronger and harder to take out. 

Once it is out of the way, the recovery may be extended towards $332.00 (the upper edge of 1-day Bollinger Band), which will signal that the downside correction is over. 

On the downside, the initial support is created by the intraday low of $280, closely followed by SMA200 4-hour at $276. A strong move below this area will open up the way towards the next bearish target of $270.30 (SMA50, daily chart) and $257 (the lower edge of 1-day Bollinger Band).

ETH/USD, 4-hour chart

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