Ethereum price analysis: ETH/USD gets dangerously close to $200

• ETH/USD bears are celebrating victory as the coin trades below SMA100 daily.
• A recovery above $235 is needed to mitigate the immediate selling pressure.

Ethereum, the second largest cryptocurrency with the current market capitalization of $23.8 billion, has lost over 16% of its value in recent 24 hours to trade at $224.40 by the time of writing. ETH/USD has recovered from the recent low of $202.80, though it is still moving within a strong bearish trend in sync with the sentiments on the global cryptocurrency market. 

Ethereum's technical picture

On the daily chart, ETH/USD has moved below SMA100 (Simple Moving Average) and the lower boundary of the previous consolidation channel at $230, which bodes ill for ETH bulls in the long run. Now the nearest support is created by the middle line of a weekly Bollinger Band at $212.00 followed by a critical $200.00 handle. Once it is cleared, the downside pressure is likely to increase traction with the next bearish aim at $190.00 (SMA50 weekly).

While this area is likely to slow down the sell-off, a sustainable move lower will bring $182.00 (SMA100 daily) in focus.

On the upside, we need to see a sustainable recovery above $230-$235 area to mitigate the immediate bearish pressure. This resistance zone is created by a confluence of strong technical indicators including the lower boundary of 1-day Bollinger Band, SMA100 daily and the lower edge of the previous range. It is closely followed by $240.50 with 38.2% Fibo retracement daily on approach. Once it is cleared, the upside is likely to gain traction with the next focus on $250.00 and $275.00 (SMA50 daily and the upper line of the above-said range).

ETH/USD 1-day chart