Last weekend saw Ethereum through another downturn after failing to sustain momentum above $2.5k. However, it has posted a substantial loss so far but currently trades calmly as it foots a strong bearish move.
Compared to the late July-August crash that rolled the price back to its yearly low, Ethereum recovered for three weeks and later initiated another leg down, though not as much as the former.
After locating support above $2,150 earlier this month, the price rose for a week and touched $2,464 last Friday. A rejection from there brought selling back and the price slipped steadily to a low of $2,252. It has recovered briefly from this low today but remains weak at the moment.
Undoubtedly, the bears are presently back in action, and as a result, we can expect a substantial loss in the next few days. The main obstacle for the bears right now is August’s low while supply increases.
If they surpass this low, the $1,900 zone would be their next area of interest. But as of now, the market is under a small retracement on the hourly chart.
Meanwhile, Ethereum is showing no sign of strength at the moment. If the bulls defend the mentioned low well, the price could rebound with a strong rally above the previous high. But from the situation of things, there’s a higher chance for an expansion than a rebound.
ETH’s Key Level To Watch
The $1,750 level looks like the major stopover for ETH bears in this correctional phase. But looking at the market structure, it may face a serious hurdle at the $2,111 support and $1,904 before testing the mentioned target level
Holding last Friday’s $2,464 high as a weekly resistance, a bounce above it could bring us to $2,595 and $2,810. Above these price levels lies $3,000.
Key Resistance Levels: $2,464, $2,595, $2,810
Key Support Levels: $2,111, $1,904, $1,750
- Spot Price: $2,278
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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