ETH/USD Closing In On Range Support
|If it fails to hold the $48 support, a test of the lower end support at $47 is possible.|
|There was a minor decline in the ETH/USD pair, as there was no close above the $50.00 handle.|
|A contracting triangle pattern formed on the 2-hour chart was broken for a push towards the $48.00 range support.|
|If Ether fails to hold the $48.00 support, a test of the lower end support at $47.00 is possible.|
Technically, the 30-min chart indicators are sharply moving lower in the bearish territory.
Ether Price to Bounce from Support?
In yesterday’s analysis, we saw a short-term contracting pattern on the 2-hour chart of ETH/USD, and were looking for a break either towards the range resistance or support.
The pair moved down, broke the triangle support at $49.00, opening the doors for a move towards the range support at $48.00. It has already tested the $48.00 support once and failed to break it. The current H2 candle is positive, suggesting the price may recover in the near term.
A break below $48.00 could lead to further declines, testing the lower end of the range support around $47.00. It is a crucial support and may play a key role for Ether price.
On the upside, an initial resistance is now at $49.00. It also represents the 50% Fibonacci retracement level of the last drop from the $50.05 high to the recent low near $48.00. Above $49, the next hurdle is around the $50.00 handle.
A bounce from the range support could signal an attempt to challenge the all-important $50.00 range resistance.
Looking at the 30-min chart of ETH/USD, the pair is following a declining path with two bearish trend lines and resistances at $48.50 and $48.65.
At the moment, the pair is attempting a recovery from the $48.00 support. A break above these trend lines is needed for a sustained move towards $49.00 and $50.00. In my view, we can see a minor downside push one more time before Ether price recovers.