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Ethereum Price Prediction: ETH to expect more pain as sell-off continues

  • Ethereum price could continue to drop toward $2,297 if the bulls refuse to step in.
  • The second-largest cryptocurrency by market capitalization has witnessed its momentum wane. 
  • ETH is likely to consolidate within the prevailing chart pattern unless an increase in buy orders occurs. 

Ethereum price has exceeded the bearish target given by the prevailing chart pattern at $2,353. ETH has rebounded slightly but is finding difficulty in discovering a reliable line of support to prevent further decline. 

Ethereum price exceeded bears’ target

Ethereum price has sliced below the lower boundary of the descending parallel channel on the 12-hour chart, reaching the pessimistic target projected by the prevailing chart pattern at $2,353. 

While Ethereum price has attempted to reverse the period of underperformance, ETH could continue to slide lower within the lower parallel channel if the bulls fail to push prices higher. 

Additional selling pressure could steer Ethereum price lower to tag the downside trend line of the lower parallel channel at $2,297, before dropping toward the 127.2% Fibonacci extension level at $2,004 if a catastrophic sell-off occurs.

However, if the buyers step in, Ethereum price may face immediate resistance at the 78.6% Fibonacci retracement level at $2,544, then at the 61.8% Fibonacci retracement level at $2,730, coinciding with the lower boundary of the prevailing chart pattern. 

A spike in buying pressure may see ETH tag the 50% retracement level at $2,861 before tagging the 38.2% Fibonacci retracement level at $2,992, where the 21 twelve-hour Simple Moving Average (SMA) also sits. 

ETHUSDT

ETH/USDT 12-hour chart

It may take an additional increase in strength before Ethereum price tags the 23.6% Fibonacci retracement level at $3,154, which sits near the upper boundary of the governing technical pattern.

The resistance line given by the Momentum Reversal Indicator (MRI) shows that Ethereum may face a stiff hurdle at the topside trend line of the prevailing chart pattern. Only a decisive break above the aforementioned obstacle could signal a reversal of the period of underperformance.

Author

Sarah Tran

Sarah Tran

Independent Analyst

Sarah has closely followed the growth of blockchain technology and its adoption since 2016.

More from Sarah Tran
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