Ethereum dethroned from the second place, headed towards 2018 low

Ethereum is changing hands at $176.90, down 14.4% in recent 24 hours. The coin now takes the third place in the rating of global cryptocurrencies with market value $18.2; however, the battle for the second place with Ripple's XRP is still in full swing, which means that the situation may change any time.

ETH/USD touched $170.81 on Wednesday, which is the lowest level since September 12. Also, it is worth noting that the collapse is taking place amid growing trading volumes, signaling that the downside may start snowballing. Currently, the average daily trading volume is registered at $2.8B,  twice as big as Monday's $1.4B, according to CoinMarketCap data. 

The volatility has receded as compared to the peak that coincided with the collapse to $170.60; however, it is still relatively high. Moreover, the price swings may increase during European hours. 

Ethereum's technical picture

From the long-term point of view, the critical support lies with $167.50 (September 12 low). Once it is cleared, the downside may be extended towards $140 and $134.78 (the lowest level since July 2017). On the upside, the price needs to recover above $200 to negate immediate bearish pressure. This resistance is followed by DMA50 at $212 and $230 with SMA100 right above this handle.

ETH/USD, the daily chart