Ethereum Price Analysis: ETH/USD descending channel resistance breakout loses steam short of $220


  • Ethereum bears are threatening reversal to $200 after bulls failed to clear the resistance at $220.
  • ETH/USD is still in the hand of the buyers in spite of the retreat from Monday highs to the short term support at $210.

Ethereum price recently broke out of a descending channel resistance in a bid to push further the recovery started after the nosedive to $175 support in May. The bullish momentum was particularly forceful especially when it came to penetrating the seller congestion at the 50 SMA and the 100 SMA in the 4-hour range. The price action extended above the critical $200 level but fizzled out short of $220.

An intraday high has been reached at $214.86 on Tuesday (lower than Monday’s high above $216). This shows that sellers are getting more confident and could continue to gain more traction against the bulls in the short term.

Meanwhile, the price is teetering 1.86% lower on the day. It has a market value of $210.24 amid a bullish biased trend and high volatility. Looking at the MACD, Ether is still primed for more gains towards $220 as long as the short term support at $210 holds. The indicator is settling into a sideways trend in the positive region. Besides, a minor bullish divergence suggests that buyers have the upper hand.  However, the RSI is pointing south as a warning to the bulls to up their game or else risk testing the crucial $200 level.

ETH/USD 4-hour chart

ETH/USD price chart

Ethereum confluence resistance and support

Resistance one: $213.44 – Is home to the previous low 4-hour, the Bollinger Band 1-hour middle curve, the Fibonacci 38.2% one-day and the SMA 100 15-minutes.

Resistance two: $228.90 – Highlighted by the previous month high, the pivot point one-week resistance two and pivot point one-day resistance one.

Support one: $211.24 – This zone converges the Bollinger Band one-hour lower, the Fibonacci 61.8% one-day and the SMA ten 4-hour.

Support two: $204.61 – Is the zone where the SMA five one-day, the Fibo 23.6% one-month and the BB one-day middle curve meet.

fxsoriginal

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Shiba Inu price looks south towards $0.0000060 as technicals favor SHIB bears

Amidst an underlying downbeat mood across the crypto market, Shiba Inu extends the bearish momentum into the third straight day on Sunday. The tide is seen turning in favor of SHIB bears once again, as well depicted by Shiba Inu’s daily technical graph, with the market licking its wounds from the China-led blow. Upside remains elusive with 61.8% Fib offering strong resistance.

More Shiba Inu news

Cardano price eyes a drop towards $1.85

Cardano price is once again on the slippery slope this Sunday, kicking off a new week on the wrong footing, as ADA bulls lack follow-through recovery momentum. ADA sellers target 100-DMA at $1.85 on a firm break below $2.

More Cardano News

Ethereum bears contemplate a drop to $2450

ETH price is building up downside pressure while clinging to the 200-SMA support. RSI remains flat below the midline, keeping the sellers cheerful. A drop towards $2450 remains in the offing if the 200-SMA caves in.

More Ethereum News

Polkadot price at make-or-break point as DOT awaits a range breakout

Polkadot price spots a potential symmetric triangle pattern on the 1D chart. RSI stands neutral at 50.00, suggesting a lack of clear directional bias. 21-DMA offers immediate resistance, 50-DMA guards the downside.

More Polkadot News

BEST CRYPTO BROKERS/EXCHANGES



Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast

BTC

ETH

XRP