Ethereum Price Analysis: ETH/USD stretches lower toward $420, still up more than 8% weekly
- Ethereum is falling for the second straight day on Sunday.
- ETH/USD remains on track to close fourth straight week in the positive territory.
After reaching its highest level in more than two years near $445 on Friday, Ethereum (ETH/USD) has gone into a consolidation phase over the weekend. The pair lost 1.4% on Saturday and was last seen losing 2.3% on the day at $422.70. Despite this latest correction, Ethereum remains on track to close the fourth straight week in the positive territory and is up more than 8% since Monday.
Ethereum technical outlook
The initial support for ETH/USD aligns at $412 (daily low/Fibonacci 38.2% retracement of this week's upsurge) ahead of $400 (psychological level) and $385 (20-day SMA). Resistances, on the other hand, could be seen at $445 (two-year high), $480 (July 2018 static resistance) and $500 (psychological level).
Meanwhile, the RSI indicator on the daily chart still floats in the overbought territory, suggesting that the pair could have a difficult time gathering bullish momentum before stretching lower.
Ethereum chart (daily)
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
