Ethereum market update: ETH/USD follows Bitcoin's lead, loses 2%
- Ethereum price is moving down in sync with the market.
- A strong is created by SMA50 daily on approach to $184.00.
ETH/USD is range-bound with bearish bias during early Asian hours. The second-largest digital coin with the current market value of $18.9 billion has lost about 2% of its value since the beginning of the day to trade at $173.18 at the time of writing. The coin tracks Bitcoin movements as the first digital coin is exploring the territory below the critical $8,000.
Ethereum’s technical picture
Ethereum reached the recent top at $186.00 as the upside momentum was stopped by SMA50 (Simple Moving Average) on a daily chart. We will need to see a sustainable move above this MA (currently at $184.00) for the upside to gain traction. However, there are several barriers to be taken out before we get there. Thus, the initial resistance at $175.00 is created by a confluence of SMA50 four-hour and the middle line of four-hour Bollinger Band. Once it is out of the way, the upside is likely to gain traction with the next focus on $178.00 (the upper line of four-hour Bollinger Band) and psychological $180.00
On the downside, a sustainable move below $172.00 ( the lower line of four-hour Bollinger Band) will increase the selling pressure and push the price towards next target at $170.00. Once it is broken, this week’s low of $164.50 will come into view, followed by a psychological $160.00.
ETH/USD, one-day chart
Author
Tanya Abrosimova
Independent Analyst
