Technically, the 2-hour chart indicators are turning lower towards their midlines.
Ether Price Supports Intact
Yesterday, we were looking for a test of $400.00, but ETH/USD struggled near $395.00 and started a downside move. The technical indicators on the 2-hour chart were showing signs of trend exhaustion, which later resulted in a decline.
Similarly, the ETH/BTC pair declined towards 0.080BTC. The downside move was strong enough to take out a buy wall near 0.080BTC and the pair fell towards 0.078BTC.
Looking at the 30-minute chart of ETH/USD, the pair attempted a break above $395.00 on three occasions. However, buyers failed to gain momentum for a test of the $400.00 level.
As a result, the price declined below a bullish trendline at $390.00 and a horizontal support at $385.00. A new intraday low is formed at $375.41 and it seems like the current decline could extend towards $370.00 or even $365.00.
On the upside, the broken horizontal support at $385.00 would act as a resistance and prevent gains. Moving on to the 2-hour chart of ETH/USD, there are clear signs of a short-term top near $395.00.
The pair broke two key bullish trendlines at $390.00 to start the current decline. The next important support area is near another bullish trendline on the same chart at $370.00 along with a horizontal support at $368.00.
The 50 percent Fibonacci retracement level of the last wave from the $335.40 low to $395.41 high near $365.00 is a crucial support for the current bullish bias. Should there be a close (H2) below $365.00, the pair would decline towards the $350.00 pivot level.
To sum up, ETH/USD has turned bearish short term after struggling to break $395.00. There can be more declines, but as long as it stays above $350.00, it could bounce back.