Ethereum Price Weekly Analysis – ETH/USD Could Break Down

Ethereum Price Weekly Analysis – ETH/USD Could Break Down

Ethereum Price Weekly Analysis ETH USD

Key Highlights

  • ETH price is under a lot of selling pressure and it remains below the $750 level against the US Dollar.
  • There is a key connecting bearish trend line forming with resistance at $710 on the 4-hours chart of ETH/USD (data feed via Kraken).
  • The pair remains in a downtrend and it could even break the $660 and $650 support levels.

Ethereum price is trading in a negative zone against the US Dollar and Bitcoin. ETH/USD may continue to face sellers and it could soon trade towards $600.

Ethereum Price Downtrend

There was a nasty decline in ETH price from well above $800 this past week against the US Dollar. The price started a downside move and traded below the $800 and $700 support levels. The downside pressure was aggressive and the price traded as low as $642.63. A recovery wave was initiated from the mentioned low, but the recovery was capped by the $740 level.

It moved above the 23.6% Fib retracement level of the last drop from the $873 high to $642 low. However, buyers were not able to push the price above the $740-750 resistance. Moreover, there was a failure near the 50% Fib retracement level of the last drop from the $873 high to $642 low. There was a major rejection noted from the $750 level and the price declined. On the upside, there is also a key connecting bearish trend line forming with resistance at $710 on the 4-hours chart of ETH/USD.

Ethereum Price Weekly Analysis ETH USD

As long as the price is below the trend line and $720, it remains in a downtrend. Further to the topside, there is another bearish trend line with current resistance at $820. On the downside, the recent low near $642 is a short term support. A push below $642 could take the price towards $600.

4-hours MACD – The MACD is moving back in the bearish.

4-hours RSI – The RSI is currently near the 30 level.

Major Support Level – $600

Major Resistance Level – $720

 

Charts courtesy – Trading View

Aayush Jindal

Aayush is a Senior Forex, Cryptocurrencies and Financial Market Strategist with a background in IT and financial markets. He specialises in market strategies and technical analysis, and has spent over a DECADE as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the currency, commodities, Bitcoin and Ethereum markets.

Source

NO COMMENTS