Ethereum price analysis: ETH/USD in retreat, discouraged by a failure at $300


  • ETH/USD bulls still struggle at psychological $300.
  • The sell-off may continue towards the lower line of daily Bollinger Band.

Ethereum, the second largest cryptocurrency with the current market capitalization of $30.5 billion, has lost over 4$ in recent 24 hours amid global sell-off on the cryptocurrency market. A failure to move above $300 handle emboldened the bears and pushed the price towards the intraday low of $280.18. At the time of writing, ETH/USD is changing hands at $285, moving within the short-term downside trend.

Ethereum's price analysis

ETH/USD sits below the short-term upside trendline (currently at $287). A sustainable move above this level will mitigate the immediate bearish pressure and allow for another attempt at $300. A confluence of strong technical indicators located in approach to this level includes SMA50 (Simple Moving Average)and SMA100 on 4-hour chart, SMA200 and the upper line of the Bollinger Band on 1-hour chart. 

This barrier is closely followed by $303.50, that limited Ethereum's recovery two days in a row. An upper line of 4-hour Bollinger Band on the 4-hour chart makes it even stronger and harder to take out. 

Once it is out of the way, the recovery may be extended towards $332.00 (the upper edge of 1-day Bollinger Band), which will signal that the downside correction is over. 

On the downside, the initial support is created by the intraday low of $280, closely followed by SMA200 4-hour at $276. A strong move below this area will open up the way towards the next bearish target of $270.30 (SMA50, daily chart) and $257 (the lower edge of 1-day Bollinger Band).

ETH/USD, 4-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. 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.

Cryptos feed

Latest Crypto News & Analysis

Editors’ Picks

Bears take over and draw a bloody moon

Cryptographer and computer scientist Nick Szabo, has presented in his Twitter account a study on the "risk-benefit" ratio of different assets. The study used a Sharpe Ratio over four years Hodl period.

More Bitcoin News

ETH/USD bears flip the bulls, target shifts to $5

Ethereum Classic is facing the ultimate correction following a massive bull-run that had it hit January highs around $12 from December lows at $3.41. The persuasive urge upwards has, however, ended in losses due to a lack of ...

More Ethereum Classic News

Ripple's CEO sees an era of IPO in cryptocurrency industry

Ripple's XRP, the third-largest digital asset with the current market value of $9.4 billion has lost over 5% in recent 24 hours and hit the low of $0.2136 on Friday. XRP/USD is moving within a clear bearish trend amid expanding volatility.

More Ripple News

The Crypto Sector in selloff mode searches a support zone

Most of the cryptocurrency sector accelerated the losses after breaking the neckline of support that was holding their prices. The selling pressure was in almost all digital assets.

More Cryptocurrencies News

BEST CRYPTO BROKERS/EXCHANGES

Bitcoin Weekly Forecast: Bitcoin bulls and bear fight gets a tougher edge

The cryptocurrency market started the downside correction after a strong rally initiated by risk reversal play at the beginning of January and reinforced by various altcoin pumps...

Read the weekly forecast

BTC

ETH

XRP