Ethereum price analysis: ETH/USD bottoms out at $439.98; rumors about ASIC mining rig for ETH disturbing small miners
- Ethereum continues sliding to new lows, controlled by the bears.
- ETH/USD needs to get back above $500.00 to mitigate selling pressure.
Ethereum bottomed out at $439.98, the lowest level since November 2017, and recovered to $458 during early European hours. The coin is still under considerable pressure as both speculative and technical factors imply that the rebound may be short-lived.
From the technical point of view, the immediate resistance is created by 50-SMA (hourly chart) at $467 and followed by the pivotal level $500.00. Once it is cleared, ETH/USD bulls will get a chance to push the price towards the ultimate resistance $570.00, strengthened by 61.8% Fibonacci retracement. On the downside, a sustained move below $439 will open up the way to $400.00.
Some players connect Ethereum collapse with the rumors about new ASIC mining rig being adopted for ETH mining. Until recently, Ethereum was mined with GPUs, while adding ASIC to the equation might result in greater level of centralization due to higher entry barrier for casual miners.
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Author
Tanya Abrosimova
Independent Analyst
