Technically, the 12-hour chart indicators are showing bearish signs.
ETH/USD Could Retest $780
This past week was mostly choppy with consolidation and ranging moves in ETH/USD. More notably, a lack of an upside above the 875.00 resistance resulted in a downward push.
There was bearish sentiment in ETH/BTC over the past few days. The pair broke two important support levels – 0.0850BTC and 0.0800BTC, and currently trades around the 0.0750BTC level.
Starting with the 12-hour chart of ETH/USD, a decent bullish candle formed around the $780.00 support. The pair started a fresh upward wave and traded close to the $900.00 resistance. It failed to gain momentum above $900.00 and started a new downward correction.
There is a crucial bearish trendline forming with current resistance at $860.00. The stated trendline acted as a hurdle on many occasions and prevented an upside break.
It seems like the pair may perhaps continue to trade lower and could retest the all-important $780.00 support region, which will most likely act as a strong buy zone.
Looking at the 2-hour chart, there is a declining channel forming with support at $820.00. The pair was rejected many times around the channel resistance, recently breaking a connecting bullish trendline with support at $860.00.
Current price action suggests an extension of the current downward correction toward the next support at $820.00. Below the mentioned $820.00, the pair may retest the $780.00 support.
As the current downward correction is completed, either near $820.00 or $780.00, Ether’s price could resume its upward move.