Ethereum  price analysis: ETH/USD losing ground, channel support in danger

Ethereum, the second largest coin by market value, struggles to gain momentum to break free from a range limited by $230 on the upside and $224 on the downside. The coin is 1.7% lower on a day-on-day basis, following the global trend: all major coins are in red this morning. Ethereum’s current market value is $23.1B, while the average daily trading volume is registered at $1.4B, in line with long-term average figures.

What’s going on

Experts surveyed by Finder.com, expect that the second largest coin will develop positive momentum later during this year. The average price forecast for December is set at $379, which is 79% higher from the current price.

“This is one of the best positioned of all the cryptocurrencies on the market. Nearly every large organisation is using it to test their own POCs. They have more developers than any other organisation. Still think this is one of the best long-term plays of all,”  Joseph Raczynski explains. He is very optimistic about ETH  predicting $1,200 for the end of 2019.

Ethereum’s technical picture

ETH/USD bears pushed the price below $224 handle during early Asian hours, but the momentum faded away as traders bought the dip. While the price returned to the recent range, we need to see a sustainable movement above $226 handle to mitigate the short-term bearish risks. This local resistance area is created by a broken upside trendline (1-hour chart). Once in is cleared, the recovery may be extended towards the upper line of the channel $230.

On the downside, the support lies with the Asian low of $222, followed by psychological $200.

ETH/USD, 1-hour chart