Ether Price Resistance Turned Support
|Ethereum price moved down during the past few hours against the US Dollar, and currently trading near a support area which was a resistance earlier.|
|As highlighted yesterday $12.50/80 levels hold a lot of importance, and currently protecting a downside move.|
|ETH may consolidate for some time before it decides the next move.|
ETH/USD retraced most of the week’s bull run to the vicinity of the key barrier at $12.80, which may play a major role for the market sentiment in the near term.
Ether Price Forecast
The prevailing risk sentiment keeps weighing on the demand for Ethers, as sellers stepped in once again. Yesterday, I stated that the upside was stalled right at a major resistance and swing area, which could result in a correction.
ETH/USD did move down, and retraced more than 50% of its gains of the last leg from the $12.08 low to $15.75 high. The price is currently trading near a monster support area of $12.80/50, which I highlighted in yesterday’s post as well.
The above mentioned level was a resistance earlier, and now acting as a support area (as can be seen on the last 7-days chart of ETH/USD with a yellow line). There is also a bullish trend line on the same chart, which is acting as a hurdle for the bears.
In short, the price is currently near a major support area, and remains at a risk of a bounce in the near term. On the other hand, a break below it may call for more losses in ETH/USD.
If we look at the last 24-hours chart, then there is a bearish trend line formed with resistance at $13.10/25 levels. A break above it may take the price higher towards $14.80.
On the downside, we need to keep a close eye on the $12.50/80 support area.