Ethereum started a sharp downward correction below $ 1,200 against the US dollar. ETH price is down 20% but is nearing key support at $ 1,000 and the 100-hour simple moving average.
- Ethereum didn’t stay above the $ 1,200 support and fell sharply below $ 1,150.
- The price is down 20% and is approaching the $ 1,000 support and the 100-hour simple moving average.
- On the hourly chart of ETH / USD (data feed via Kraken) there was a pause below a large ascending channel with support near USD 1,250.
- The pair is likely to find strong support near the $ 1,000 zone and the 100-hour SMA.
Ethereum price corrects sharply
In the last two sessions, Bitcoin and Ethereum saw a sharp downward revision below $ 38,000 and $ 1,100, respectively. ETH price did not stay above the USD 1,200 support and fell well below USD 1,150.
There was a strong bearish wave after the closing price fell below the $ 1,200 level. More importantly, there was a break on the hourly chart for ETH / USD below a large ascending channel with support near USD 1,250.
The pair even broke the 50% fib retracement level of the key’s move up from the $ 890 low to the $ 1,351 high. Ether price has fallen 20% and is approaching the $ 1,000 support and the 100-hour simple moving average.
Source: ETHUSD on TradingView.com
The 76.4% fib retracement level of the key’s upward move from the $ 890 swing low to the $ 1,351 high is also near the $ 1,000 level to act as strong support. The 100 hour simple moving average is also near the $ 1,000 zone to provide strong support in the short term.
Unless the Ether price is above the support of USD 1,000 and the simple moving average of 100 hours, there is a risk of a decline towards the support level of USD 900 in the upcoming sessions.
New rise in ETH?
If Ethereum stays above the $ 1,000 support and 100 hour simple moving average, it could spike again. Initial resistance to the upside is near the $ 1,180 level.
The first key resistance is near the $ 1,200 level. A closing price above the USD 1,200 level could potentially push the ether price back into positive territory. In that case, the USD 1,300 level could be reached again.
Hourly MACD – – The MACD for ETH / USD is picking up pace in the bearish zone.
Hourly RSI – – The RSI for ETH / USD is currently below the 50 level at a bearish angle.
Main Tier Support – $ 1,000
Main Resistance Level – $ 1,200