Ethereum price analysis reveals that the ETH price is facing strong rejection above the two hundred and twenty-five dollars ($225) mark.
Ethereum has developed a short-term bearish outlook as the price had a significant fall from levels around two hundred and thirty-five dollars ($235).
Although the price tried to break through key resistance across the 4-hour charts, a strong push by the sellers dropped the price to two hundred and eight dollars where it is currently trading.
Now an acute head and shoulders pattern is starting to form as the price faced rejection from the resistance zone.
Now the price is still hovering a bit above support levels as the cryptocurrency is selling around two hundred and eight dollars ($208) with key supports lying at one hundred and ninety-three dollars ($193) and one hundred and eighty-five ($185).
As the green movement ends all technical indicators are starting to switch over the bearish side. Meanwhile, the Relative Strength Index (RSI) has already turned bearish and is showing that the sellers control the market. Furthermore, the moving average convergence/divergence (MACD) has also switched bearish and is now starting to show momentum towards the sellers.
If the head and shoulders pattern continues, the price will now find support around one-hundred and fifty-five dollars ($155) mark.
Across the medium term-charts, the price is yet to turn bearish or bullish. The price is now closing in on its 200-period moving average (MA). The price action failed to establish support at a higher level and is now possibly heading towards July’s low of one hundred and ninety-two dollars ($192).
If the selling continues below that level the price will possibly fall as low as one hundred and sixty dollars ($160) support. This is highly probable as all technical indicators are still negative and showing momentum by the sellers.
The price action will remain bullish as long as the price trades above the one-hundred-dollar ($100) level. The RSI remains bearish and indicating a further decrease in Ethereum’s price. The MACD is also bearish with a strong sell signal.
Ethereum’s price has started declining as it faced rejection from the two hundred and thirty-five ($235) level and may fall as low one hundred and fifty-five dollars ($155).