Key Highlights
- ETH price started a sharp downside move and traded below the 0 and 0 supports against the US Dollar.
- This week’s highlighted key bullish trend line with support at 5 was broken on the hourly chart of ETH/USD (data feed via Kraken).
- The pair is now back in a short-term bearish zone and it could retest the 0 support.
Ethereum price nosedived against the US Dollar and Bitcoin. ETH/USD is currently trading well below the 0 level and it moved into a bearish zone.
Ethereum Price Decline
There was no upside break above the 2 resistance in ETH price against the US Dollar. The price started a sharp downside move and declined below the 0, 0 and 0 support levels. It seems like the price was rejected from the 2 level and buyers failed to gain bullish momentum. The worst thing is the fact that the price settled below the 0 support and the 100 hourly simple moving average.
Moreover, this week’s highlighted key bullish trend line with support at 5 was broken on the hourly chart of ETH/USD. The pair even cleared the 50% Fib retracement level of the last wave from the 5 swing low to 2 high at 0. It has opened the doors for more losses and the price may decline further below 0. The next support on the downside is around the 76.4% Fib retracement level of the last wave from the 5 swing low to 2 high. The overall bias has turned bearish short term with a close below 0.
Looking at the chart, the price is under a lot of selling pressure from 2. If sellers remain in control, there is a chance of more declines below 0. On the upside, the broken support at 0 and 0 are likely to act as hurdles for a recovery.
Hourly MACD – The MACD is gaining momentum in the bearish zone.
Hourly RSI – The RSI has reached the oversold levels.
Major Support Level – 0
Major Resistance Level – 0
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