Technically, the 2-hour chart indicators are correcting lower from the overbought zone.
Ether Price Analysis
Yesterday, there were further gains in ETH/USD above the $460.00 resistance. The pair even broke the $475.00 resistance and traded to a new monthly high at $486.95 before starting a downward correction.
On the other hand, ETH/BTC remained in a range and struggled to clear the 0.0720BTC resistance. On the downside, a key support sits at 0.0700BTC which must hold losses in the near term.
Looking at the 30-minute chart of ETH/USD, the pair traded toward the $490.00 resistance. However, it failed to hold gains and declined below an important channel support at $478.00.
It opened the doors for a downward correction and the price tested the 23.6 Fibonacci retracement level of the last wave from the $405.29 low to $486.95 high near $465.00. Any further declines could push the price toward the next supports at $460.00 and $452.00.
The 2-hour chart of ETH/USD indicates the significance of the $460.00 support (the previous resistance). There is also a connecting bullish trendline on the same chart with support at $465.00.
Therefore, a close below $460.00 may possibly extend the current correction toward $452.00. Finally, the most important support is at $440.00, below which, Ether’s price will most likely move back into a bearish zone.
Alternatively, should Ether bounce back from the $460.00 support, it may well revisit the $475.00 resistance. To the topside, the $485.00-490.00 resistance zone is crucial for more gains in the coming days.