Technically, the hourly chart indicators moving lower in the bearish territory.
Ether Price Testing Important Support
There was no respite for Ether buyers especially versus Bitcoin. ETH/BTC was under a lot of pressure and moved down by more than 12% towards 0.070BTC.
ETH/BTC’s decline has increased bearish pressures on ETH/USD. The pair is down by nearly 6% and trading below the $200.00 handle.
It seems like the pair may soon challenge the last swing low of $192.64, or even surpassing that mark to set a new intraday low. Looking at the hourly chart, there is a contracting wedge with support at $197.00.
The pair seems poised to break the wedge support for a run towards the $192.64 level. If bearish pressures remain intact, there is a possibility of ETH/USD trading towards $185.00 or even $175.00.
The 4-hour chart also points to a similar picture. There is a crucial breakout pattern forming with resistance at $210.00 and support at $190.00. The price is struggling to gain bullish momentum, putting it at a risk of a downside break.
A break and close below the wedge support on the 4-hour chart would be a strong bearish signal. Therefore, if Ether’s price has to recover, buyers need to protect the $190.00 pivot.
On the upside, the wedge resistance sits at $210.00. A successful close above it would negate the current bearish momentum and might spur a rally towards $240.00.
To sum up, ETH/USD is approaching a crucial break and key supports at $190.00 and $175.00. Short-term bearish pressures is increasing, but the long term view should remain stable as long as there is no sustained move below $190.00.