- A move below $200.00 will worsen the short-term technical picture.
- The significant support is created on approach to 194.00.
The second-largest cryptocurrency with the current market capitalization of $22.4 billion hit $217.60 on Wednesday. While the coin has retreated to $207.50 by the time of writing, the overall sentiments remain bullish as the coin stays above a critical $200.00. ETH/USD has lost about 2.5% on a day-on-day basis amid global correction on the cryptocurrency markets.
Ethereum’s long-term technical picture
Looking technically, ETH/USD stays well above a strong resistance of $200.00. A sustainable move above this barrier improved Ethereum’s technical picture and created a significant upside momentum. The initial support is registered on approach to $206.00 (SMA200 (Simple Moving Average) and the upper line of one-day Bollinger Band). Once it is out of the way, the sell-off is likely to gain traction with the next focus on psychological $200.00. The next strong support area comes as low as $194.00 with SMA50 daily located right below this handle.
On the upside, we will need to see a sustainable move above $210.00 for the upside to gain traction. The next resistance awaits us on approach to the recent high at $217.60. Once broken, the price may extend an upside move towards $220.00
ETH/USD, daily chart
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