Ethereum price analysis: European bears may put an end to ETH/USD recovery

Ethereum touched $124.48 low during early Asian hours before recovering to $135 by the time of writing. The third largest asset with a current market value of $13B stays in the oversold territory amid decreased volatility. ETH/USD has stabilized after Tuesday's collapse, however, the downside momentum may gain traction later during the day, when Europen traders join the market. 

ETH/USD has lost over 82% since the beginning of the year. The coin is trading at the lowest level since May 2017 amid increasingly bearish sentiments. An ICO boom that supported Ethereum during 2017 might turn against the coin, increasing the downside pressure as the projects sell their proceeds to finance everyday needs. 

Ethereum's technical picture

On the intraday level, ETH/USD is supported by psychological $130.00 area, which includes Pivot Point Monthly Support 3 and SMA5, 1-hour. Once it is cleared, the downside may be extended towards the Asian low $124.48 and to $124.24 (Tuesday's low). The pivotal support lies with $120.00. It is likely to stop the sell-off for the time being. 

Considering that the Relative Strength Index (1-hour) is turning downwards, the upside correction may be short-lived. Basically, the bulls need to take the price above $146,25 (SMA50, 1-hour) and $150.00 handle to mitigate the bearish pressure.