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Ethereum price analysis: Reversers sharply below $300 but seeking support above $285

  • Ethereum bulls pushed the price from the primary support at $270 but lost momentum steam short of critical $300 level.
  • Ethereum bears are battling for entry positions above $285 short-term support but a couple of more support areas at $280 and 23.6% Fib level will halt declines in case of a breakdown.

Ethereum price recovered from yesterday’s slide towards the primary support at $270. There was a considerable struggle at the 23.6% Fib level with the last high leg of $305.3 and a low leg of $268.95. However, the bulls intensified the attack, stepping above $280 but corrected lower again towards the close of the session.

The former resistance turned support at the 23.6% Fib level stood its ground preventing further declines. The price then bounced up sharply in correlation with the surging Bitcoin (BTC) price that added at least $400 in less than half an hour to trade highs of $6,875 from $ lows of 6,439. The engulfing candle on ETH/USD chart pushed the price above the resistance at $290, came very close to $300 but formed a high at $298.98 before the trend turned bearish.

Ethereum has continued to lose steam since the reaction to the intraday highs. The support at 61.85 Fib level close to $292 failed to hold. However, it is currently flirting with the 50% Fib level at $287 while seeking support above $285.

The bears are fighting hard to regain control, besides technical indicators are currently in their favor as they send negative signals. The MACD has changed direction to the south while the stochastic is fighting to leave the oversold. Looking at the chart, the Ethereum path of least resistance is to the downside for the near-term.

A support above $285 is essential to the bulls at the moment, but they must battle to take Ethereum back above $290 and later retrace steps above $300 critical resistance. If the immediate support at $285 fails to hold ground, $280 will work as the next support line and further down the 23.6% Fib level.

Find more on the latest crypto market overview here.

ETH/USD hourly chart

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Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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