ETH/USD Forecast: Ether Plunge Into Support
|Ether declined further and moved below the $200.00 support against the US dollar.|
|ETH/USD managed to stay above the $190.00 level but faces many resistances like $210.00 and $218.00.|
|ETH/BTC, after a downside break, moved back above the 0.080BTC pivot.|
Technically, the 4-hour chart indicators are closing in towards their midlines and attempting downside break.
Ether Price Struggle Continues
In yesterday’s analysis, we discussed about the chances of ETH/USD testing the $200.00 level. The pair did trade lower and not only tested the $200.00 support, but even traded to a new intraday low at $192.64.
Let’s start with the 4-hour chart, which shows how a bearish trendline at $225.00 protected an upside break and sparked a downside move.
The pair broke a connecting bullish trendline at $224.00 and moved sharply towards $200.00. Buyers struggled to hold the $200.00 support and as a result, there was a new intraday low formed at $192.64.
The $190.00 level acted as a major support zone along with $180.00. The price already recovered a few points and is currently flirting with the $200.00 handle. In order to avoid any further declines, the price has to stay above $180.00-190.00.
Dropping down to the hourly chart of ETH/USD, there are two bearish trendlines at $204.00 and $218.00. The first is a short-term hurdle for Ether’s recent recovery. Above $204.00, the price may test the previous support at $210.00, which now serves as resistance.
The $210.00 resistance is also the 50 percent Fibonacci retracement level of the last decline from the $231.70 high to $192.64 low. However, the most important resistance is near the second bearish trendline at $218.00.
On the downside, there is a support base forming above $190.00. If buyers succeed in avoiding declines below the recent low of $192.64, there can be a push towards the $210.00 resistance.
Deeper correction would signal improved uptrend with a break above the $210.00 pivot expected to ignite stronger upside action.