- Ethereum price analysis shows the bearish hold is getting strong near $2,200
- ETH/USD crashes 55 percent in the past 11 days to touch $1,730 low
- Bulls are struggling to maintain $2,200 level as selling pressure intensifies
- ETH/BTC is moving near 0.06 BTC in a show of consolidation
Ethereum, just like other cryptocurrencies, is showing signs of consolidation on the hourly charts. The ETH/USD pair is trading near $2,200 as the sellers are looking for higher levels to restart the bear run. The past week’s 40 percent fall is evident in the hourly charts as Ethereum hovers near the lower Bollinger Band.
The bulls will have to vigorously defend the $2k support area if they intend to build a bounce-back pattern. Yesterday saw the pair touch $1,730 low, but the pair quickly recovered and went back inside the safe confines of the Bollinger Bands. The bearish pressure is set to continue as we move forward in the new week as per Ethereum price analysis.
Key support levels to watch out for in the coming days include $1,888 and $1,625. On the upside, the bulls will have to close above $2,275 to maintain the positive spirit and attract more buy orders. In the long-term horizon, the bulls will have to cross $2,400 to turn the sentiment in their favor.
Ethereum price movement in the last 24 hours: Bulls barely defend $2,000 level
Ethereum price analysis shows that the bulls are barely able to hold onto significant support levels. The sharp 55 percent decline from the all-time highs led to the closure of many leveraged long positions. The cryptocurrency suffered massive damage to its market cap as well. Bulls are sitting on the sidelines and hoping for things to clear before they make a decision.
The ETH/USD pair is currently recovering from the steep decline to the $1,730 low printed yesterday. The .786 Fibonacci retracement of the January wave stands at $2,440 and will be a significant hurdle for the bulls on the daily charts. The 50-day moving average is near $2,800, and the price is nowhere close to it to stage a comeback according to Ethereum price analysis.
Interestingly, the 100-day moving average at $2,000 is supporting the price well. The momentary dip to $1,730 will only strengthen the bearish resolve to sell at higher levels.
ETH/USD 4-hour chart: Parabolic move in the works?
Ethereum price analysis shows that ETH is known to print parabolic price movements on the charts. It would need a massive parabolic move to come out of the current predicament. A strong bullish trend built on massive volumes and liquidity is the only cure. However, the technical indicators do not support such a viewpoint.
The only positive thing about Ethereum price analysis is that the price is trading above the 200-day exponential moving average. Day traders often use 200-day EMA to create short-term positions. The RSI at 44 does not inspire confidence. The MACD is showing a minor crossover but only on the smaller timeframe hourly charts according to Ethereum price analysis.
Looking ahead, the pair finds significant support at $1,880 and then again at $1,625. Any break below these levels will only shift the entire bullish projections on the weekly charts. Further down, the pair will find peace at $1,425, where the January 2021 bullish wave began.
Ethereum price analysis conclusion: Weekly bullish trend under threat?
Most technical indicators are showing oversold readings on the hourly charts. But what about the weekly charts? The picture on the long-term weekly charts is still bullish as the current bear run is still a dip that can be corrected. However, any sustained selling in an overextended bearish trend can take the price under a crucial support level at $1,425.
There is still room underneath for a continued bearish rally. If more pain comes ETH way, then many weeks’ worth of gains will be wiped out. Many large investors and institutional participants are hoping for a quick recovery. Like most altcoins, the ETH/USD pair is also looking for signs of a bullish reversal.
On the fundamental front, Ethereum has many projects going for it, including the massive DeFi realm. Investors are optimistic that the current crash will only be a dip in the ETH horizon. Analysts will discover many reasons to buy the current dip since the fear-and-greed index shows ‘extreme fear’ reading.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.