ETH weekly view is mostly negative, and if we look at a higher time frame chart, then it clearly suggests that ETH/BTC MACD is bearish.
Ether Price – Are You Looking To Sell?
Ethereum price struggled throughout this past week, especially against Bitcoin and my view of selling in the short term worked perfectly. The technical indicators were pointing bearish signals, which ignited a continuous downside pressure.
The last 7-day chart of ETH/BTC clearly highlights a downtrend, and the most important point is the fact that the price broke a major support area at 0.0240BTC-0.0235BTC. The red line points how important was the stated support levels, as it acted as a barrier for sellers on many occasions earlier. It is now broken, which means if the price trades higher, the same level may act as a resistance.
If we turn our attention to a higher time frame chart like the 14-day, then another crucial break can be seen. There was a bullish trend line formed on the 14-day chart, which was cleared by the ETH sellers. It looks like the price is now heading towards the 0.0220BTC level that may act as a support area.
I think there is a chance of more losses in the short term, which could take ETH/BTC towards 0.0220BTC or 0.0210BTC where the bulls may step in. So, if you are looking to enter a sell trade, then be careful around the stated level. On the upside, the broken support area of 0.0240BTC may play a crucial role, and might stall a recovery in the near term.
Overall, we need to trade with caution, and wait for a break on the either side to get an idea of the next move.