Ethereum (ETH) has been trading below the $2,800 level, or the 21-day SMA, since August 8. Price analysis by Coinidol.com.
Buyers tried to hold the price above the moving average lines last week but failed to do so. The upward movement encountered strong resistance at the 21-day SMA and 50-day SMA, which led to the decline.
Long-term analysis of the Ethereum price: bearish
Ether is correcting upwards and retesting the $2,800 resistance level or the moving average line. On the weekly chart, Ether will rally to the high of $3,200 or the 21-day SMA if buyers keep the price above the 50-day SMA.
On the other hand, if Ether turns down from the moving average lines, it will fall below its previous low of $2,000. However, if the bears break support at $2,000, the market will approach the 2.0 Fibonacci extension or $1,674. At the time of writing, Ether is valued at $2,654.
Ethereum indicator analysis
Ether’s price bars are below the 50-day SMA and are rejected there. Ether will fall as long as the price bars remain below the moving average lines.
On the daily chart, the moving average lines show a bearish crossover when the 21-day SMA crosses below the 50-day SMA. This indicates the current downtrend.
Technical Indicators:
Key Resistance Levels – $4,000 and $4,500
Key Support Levels – $3.500 and $3,000
What’s next for Ethereum?
After the last price drop on August 5, Ether has been trading in a downtrend. The largest altcoin is trading above the $2,500 support but below the $2,800 barrier. On the downside, the price indicator predicts a further decline in the cryptocurrency. Ether risks have fallen to a low of $2,000 or $1,674.
Disclaimer. This analysis and forecast are the personal opinions of the author. They are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol.com. Readers should do their research before investing in funds.
