Technically, the 12-hour chart indicators are accelerating declines in the bearish territory.
Ether Price Analysis
Yesterday, we discussed a positive structure and a possible bullish break above $410.0 in ETH/USD. However, the pair failed to settle above $409.00-410.00 and declined sharply.
There was also an increase in selling pressure on ETH/BTC below the 0.0580BTC pivot level. The pair broke the 0.0570BTC support and is currently heading toward 0.0550BTC.
Let’s start with the 2-hour chart of ETH/USD to understand the recent rejection and decline. The pair attempted to close above a crucial bearish trendline and $410.00, but buyers failed to gain momentum. It prompted a sharp drop in Ether and the price broke the important support at $400.00.
Two back-to-back large bearish candles were formed and the price moved below the $385.00 support. It traded to a new multi-month low at $365.73 and is currently at a risk of more losses.
Should the price correct higher, the broken supports at $372.00 and $385.00 could prevent gains. The most important resistance is $400.00 (the previous support).
Moving up to the 12-hour chart of ETH/USD, the pair came under a lot of selling pressure after it broke the $400.00 support. It seems like the price is currently in the fifth and final wave from the $515.09 high.
An immediate support is near $365.00, below which, the price will most likely test $350.00. The $350.00-360.00 support zone holds a lot of significance since Ether formed a major bottom in March-April 2018 before bouncing back toward $800.00.
Therefore, there could be range moves above $350.00-360.00 before Ether’s price heads toward $400.00 or $350.00.