Technically, the daily chart indicators are approaching oversold levels in the bearish territory.
Ether Price Weekly Analysis
Yesterday, we discussed the importance of the $450.00 support for ETH/USD. The pair corrected a few points higher, but it failed to gain momentum and declined sharply.
ETH/BTC is currently holding the 0.0750BTC support. However, a failure to recover above the 0.0780BTC resistance could push the price below the 0.0750BTC and 0.0720BTC support levels.
Looking at the daily chart of ETH/USD, the pair recovered from the $450.60 low earlier this month. However, the price faced a strong resistance near the $540.00 and $550.00 resistance levels. More importantly, two important bearish trendlines with current resistance at $505.00 acted as a crucial hurdle.
The price failed to gain momentum above $550.00, resulting in a sharp downward move. Ether settled below the $500.00 handle and even traded to a new monthly low below $448.00. At the outset, the price is currently trading near a connecting support trendline at $445.00.
Should there be a bearish break and daily close below $445.00, there could be heavy declines toward $420.00 and $400.00. Dropping down to the 30-minute chart of ETH/USD, the pair topped near $482.00, moved down, and broke a key connecting bullish trendline with support at $470.00.
The price is currently trading below $460.00 with increased selling pressure. An upward recovery may face resistances near $465.00, $470.00, and $482.00. Above this last, the most important hurdle is at $505.00.
The overall price action is bearish, and a daily close below $450.00 and $445.00 could accelerate losses in Ether in the upcoming days. On the flip side, a bounce above $482.00 could start a major recovery in ETH/USD.