Ethereum Price Analysis: ETH/USD trades below 20-day and 50-day SMAs
- Ethereum fell for three straight days, down nearly 4% for the week.
- ETH/USD closed below both 20-da7 and 50-day SMAs on Friday.
The broad-based selling pressure surrounding cryptocurrencies in the second half of the week weighed on Ethereum (ETH/USD) and caused it to close the last three days in the negative territory. At the moment, after dropping to a ten-day low of $230, ETH/USD seems to have gone into a consolidation phase and was last seen gaining 0.3% on the day. For the week, the pair is down nearly 4%.
ETH/USD technical outlook
On Thursday, ETH/USD closed below both the 20-day SMA and the 50-day SMAs for the first time since early March, suggesting that sellers are looking to take control of the price action. However, the Relative Strength Index on the daily chart continues to move sideways around 50, pointing out to a neutral outlook in the near-term.
On the downside, $230 (Jul. 16 low) is the initial support ahead of $225 (static level). Below these levels, $215 (100-day SMA/Fibonacci 23.6% retracement of March-June rally) aligns as a critical support.
Resistances could be seen at $240 (20-day SMA/50-day SMA), $250 (static level) and $255 (Jun. 2 high).
ETH/USD 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.
