Ethereum market update: ETH is losing its luster

Ethereum (ETH) retreated from the recent high at $147.00 and settled at $142.00 by the time of writing. Unlike Bitcoin, the second largest coin lacks the upside momentum and drags along within a range with bearish bias.

Looking technically, three bearish Doji candles on a daily chart might signal that ETH bulls are not ready for a decisive breakthrough as yet.

On the intraday level, ETH/USD is supported by $140.00. A sustainable move lower will take the price to congestion zone $139.00 strengthened by a confluence of SAM50 and SMA200 (4-hour chart). This area is likely to stop bears’ assault for the time being. An even stronger barrier is seen at $136.00 (DMA50).

On the upside, the initial resistance lies with $144.50-145.00. ETH/USD has attempted to settle above this area on several occasions, which means that there is a strong selling interest clustered around that area. Once it is out of the way, the recent high of $147.00 will come into focus, followed by $148.00.

Experts believe that Ether woes came with the growing competition. 

“The simple reality is that until the last six-to-nine months, there were no other options besides Ethereum. Now there are,” Kyle Samani, co-founder of hedge fund Multicoin Capital Management noted in the interview with Bloomberg.

Ethereum network is losing its market share, as new promising projects pop up, allowing developers to create dApps within their ecosystems and raise funds through ICOs.

ETHUSD, 4-hour chart