Ethereum has been significantly down in the past week with a current 17.9% share of the market. Although, it remains bullish on the higher timeframe, looking for a support line to foot a fresh increase.
After breaking higher to a multi-month high of $2,717 two weeks ago, Ethereum initiated a drop and quickly lost steam, closing that week slightly bearish.
Last week’s trading started a bit strong but later ended in a red following several drops. From that multi-month high, ETH has seen almost 15% loss and is now trading below the $2,400 level.
While it is still within a buying range, the ascending trend line remains a crucial dynamic support to watch for a possible resurge. This setup should come into play if Bitcoin stays a bit calm above its one-month low. But from the look of things, a breakdown is more likely to occur.
Failure to initiate a buy from this dynamic support may result in a further dip, which is capable of slipping the price towards the $2,100 level, held as an important support for the past month.
As can be seen on the daily chart, the price is trading far above this important level. A monthly close below this level could trigger a crackdown to $2,000 before resuming positive actions.
ETH’s Key Level To Watch
Now that the $2,300 level stands as a potential rebound area for Ethereum, a broader correction could plunge the price to the low of $2,222. The support below this level is located at $2,100.
The recent breakdown level of $2,445 is now serving as an immediate resistance on the daily chart. Above this resistance lies the $2,566 and $2,717. Overcoming these levels could fuel more rally in Ethereum’s price.
Key Resistance Levels: $2,445, $2,566, $2,717
Key Support Levels: $2,300, $2,222, $2,142
- Spot Price: $2,373
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service.
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