Ethereum price analysis: ETH/USD extends the decline to $260, the downside trend gaining traction


  • ETH/USD bears snatched up the initiative and pushed the price well below $300.
  • Strong support is created by a confluence of technical indicators at $250.

Ethereum, the second largest cryptocurrency with the current market capitalization of $30.4 billion, is in deep decline, down over 10% in recent 24 hours and over 4% since the beginning of the day. At the time of writing, ETH/USD is changing hands at $282.00 amid strong downside momentum. 

A lack of follow through after a breakout above $300.00 discouraged ETH bulls, while a sustainable move below $300 handle has worsened the short-term technical picture

Ethereum's technical picture

The initial support created by a confluence of the lower line of 1-day Bollinger Band and SMA50 (Simple Moving Average) on a daily chart at $276 was broken, which increased the downside pressure and pushed the coin below the next hurdle at $273.50 (the lower line of 1-hour Bollinger Band). The price has entered uncharted territory with the next strong barrier as low as $250.00

On the upside, the local resistance is created by the previous recovery high at $290.00. Once it is cleared, the upside is likely to gain traction with the next focus on psychological $300 strengthened by a confluence of technical indicators including SMA100 and SMA50 (1-hour), SMA100 4-hour and the middle line of 4-hour Bollinger Band. A sustainable move above this area will open up the way towards the next bullish aim of $310 and $323 (the upper edge of the 4-hour Bollinger Band)

ETH/USD, 1-hour chart

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.

Cryptos feed

Latest Crypto News & Analysis

Editors’ Picks

Bitcoin Flat, Cryptocurrencies on a Positive Tone

Cryptocurrencies were slightly positive during the last 24 hours, except for Bitcoin, who failed to cross the $8,300 level and created a large candle down to $8.150, tho, then, move back to the $8,200 range. 

More Bitcoin News

Ripple price analysis: XRP/USD grinds to a halt ahead triangle breakout

Ripple performance in October has been relatively better compared to other major digital currencies. The world’s third-largest crypto is stepped above $0.30 last week but failed in sustaining gains towards $0.31.

More Ripple News

TRON price analysis: TRX/USD mired in a tight range

At the time of writing, TRX/USD is changing hands at $0.0155. The coin has stayed mostly unchanged both on a day-to-day basis and since the beginning of Tuesday amid slow trading activity on the cryptocurrency market. 

More Tron News

NEO price analysis: NEO/USD on recovery track, still below critical resistance of $7.80

NEO, currently the 21st largest coin with the total market value of $527 million, has gained about 1.7% in recent 24 hours to trade at $7.5 at the time of writing. Since the beginning of Tuesday, NEO/USD has gained about 1%.

More NEO News

BEST CRYPTO BROKERS/EXCHANGES

Bitcoin Weekly Forecast: Nothing to crow about

Bitcoin (BTC) attempted a recovery above $8,400 and resumed the decline into the end of the week.

Read the weekly forecast

BTC

ETH

XRP