Ethereum price analysis: ETH/USD short-term stability spells medium-term losses
|- Short-term technical signals are positive but Ethereum is still below the long-term bearish trendline.
- Ethereum buyers battle to reclaim bullish channel support while a break above $240 will open the way for gains towards $250.
Ethereum is sending both bullish and bearish signals. It is the second largest cryptocurrency with a market capitalization of $23 billion while exchanges listed on CoinMarketCap have recorded $1.3 billion in trading volume in the last 24 hours. Although there have been slight declines in the volume over the last one week, it has remained stable above $1.4 in the past 3 days. The market cap, on the other hand, has increased slight in the same period but stuck below the $24 billion mark.
In the past couple of weeks, Ethereum has been stable above $200. On the upside, it has remained capped below $240. The current consolidation is likely to breakout in the medium-term and retrace above $240 key resistance level in preparation for a swing above $250. However, in the short-term, ETH/USD has broken below the bullish channel support. If the subtle declines drop below $220, Ethereum price could fall further towards $200.
Meanwhile, the price is trading at $225 while an attempt to reclaim the bullish channel support is ongoing. The RSI is hammering on at the overbought region showing that buyer presence is rising. The MACD is leaning more to the positive zone as a sign of bullish reversal. The path of least resistance is to the upside in the short-term but the long-term trend is still strongly bearish.
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