Ether Price Rebounds After Nosediving Towards $11.20
|Ether price suffered losses yesterday not only against the US Dollar, but also against Bitcoin.|
|The ETH/USD pair jaw dropped and traded close to the $11.20 support area.|
|The Ether bulls somehow managed to defend more declines and pushed the price back up.|
Technically, the 4-hours chart shows that the pair is attempting a crucial break of a triangle pattern, which could define the trend for a few sessions.
Ether Price Recovery
We saw yesterday that the Ether price was trading along a sideways trend versus the US dollar. There was a major support at $11.40. Later, the ETH sellers had an upper hand, as they managed to push the ETH/USD pair below $11.40.
However, the downside was limited looking at the 30-mins chart, as the price just traded a few basis points below $10.30. It not even did a complete test of the next major support of $11.20. The pair is currently rebounding, and following a minor bullish trend line.
On the upside, there is now a resistance formed just below $11.70 (as can be seen in chart). Looking at the last couple of candles, it seems the current recovery is over and the price may trade lower. On the downside, the trend line is key. If it holds, there is a chance of a ride towards $11.70.
When we look at the 4-hours chart of ETH/USD, nothing major change occurred. I highlighted a contracting triangle pattern yesterday, which is still in place. The price attempted to break the triangle support, but failed.
ETH/USD is currently trading near the triangle resistance area and facing offers. We will witness a break on the 4-hours chart soon, as the pattern is contracting. It’s very tough to predict the side of break. So. It’s best to wait for a break before making trading decision.