Technically, the 4-hour chart indicators moved into the bearish territory, signaling an increase in selling pressure.
Can Ether's Price Hold $1,000?
Yesterday, we saw the start of a downside wave in ETH/USD with an important support near $1,080.00-1,100.00. The pair failed to stay above the mentioned support and declined toward the $1,000.00 level.
In contrast, ETH/BTC extended gains and broke the 0.1080BTC resistance to trade above 0.1100BTC. It seems like bitcoin price is under pressure versus the US dollar, helping ETH/BTC in gaining bullish traction.
Looking at the hourly chart of ETH/USD, the pair declined sharply and traded as low as $1,020.73. Later, it started an upside correction and broke a connecting bearish trendline with resistance at $1,070.00.
However, there are many hurdles on the upside such as $1,120.00 and $1,150.00. An intermediate resistance is around $1,130.00 and the 50 percent Fibonacci retracement level of the recent decline from the $1,238.92 high to $1,020.73 low.
On the downside, there is a short-term bullish trendline forming with support at $1,090.00. An hourly close below the mentioned $1,090.00 support could trigger a fresh downside wave.
Moving up to the 4-hour chart of ETH/USD, there is a clear downside break below a crucial bullish trendline with support at $1,100.00. The pair is currently moving higher, but it could face a significant resistance near $1,120.00 and a bearish trendline on the same chart.
To sum up, it seems like the recent break may perhaps pressurize Ether’s price in the short term. However, there is a key support on the downside around $1,000.00, which will most likely act as a barrier to further declines. As long as ETH/USD is above $1,000.00, it may consolidate and then recover.