Ethereum Price Analysis: ETH/USD may face $200.00 amid growing bearish sentiments

Ethereum (ETH) experienced a sharp sell-off to the intraday low of $229.78 and recovered to $230.80 by press time. The coin has entered a recovery mode; however it is still vulnerable to a new shell-off below $230.00 as the bearish pressure remains strong. ETH, the second-largest digital asset with the current market capitalization of $26.06 billion, has lost over 2.6% since the start of the day and 2.75% on a day-to-day basis.

ETH/USD: Technical picture

ETH/USD dropped outside the Bollinger Band on 1-hour chart. The lower line of this Band now serves as an iniital resistance for the coin (currently at $232.50). The price may recover towards this barrier, but the strong recovery is unlikely at this stage as the RSI on the intraday charts stays flat on the oversold territory and shows no signs of reversal as of yet. Once $232.50 is cleared the recovery may be extended towards $237.00, that served as a channel support in the recent days.  A sustainable move above this area is needed for the upside to gain traction with the next focus on $240.00.

On the downside, the coin is supported by $230.00 followed by the intraday low of $229.74. The next barrier is created by the lower line of the daily Bollinger Band at $218.00. If it is broken, the sell-off will continue towards the psychological $200.00.

ETH/USD 1-hour chart