ETH/USD Forecast – Can Gains Be Retained?
|Ether price rebounded well against the US Dollar recently, but failed to break the $11.70 resistance.|
|The ETH/USD is once again moving lower, and just broke a short-term support area.|
|It looks like the pair may correct lower and test the range support zone of $11.40.|
Technically, the 30-min chart points a short-term top and calling for a downside move.
Ether Price Downside Move
Ether price started a rebound yesterday after a decline against the US Dollar. It managed to rise towards the $11.70 level where it found offers and started moving down once again. An intraday high of $11.73 was formed before the ETH/USD pair started trading lower.
Yesterday, I highlighted a minor bullish trend line on the 30-min chart of ETH/USD. However, the Ether bulls failed to hold the trend line support, as the pair just moved below it. There was even a move below the 23.6% Fib retracement level of the last wave from the $11.27 low to $11.73 high. So, there is a high possibility of ETH/USD extending the current downside move.
If the recent break is true, there is a chance of a short-term top at $11.73. In that situation, the price may head lower and even test the $11.40 level. The mentioned level represents a major support, as it has been acting as a range support for a few weeks.
When we look at the 4-hours chart of ETH/USD, the pair is still in a broad range. I have been tracking a broad range with support at $11.40-20 and resistance at $11.60-80. The pair seems like moving back towards the range support area.
There was a minor drop in the trading volumes during the past few hours, which help sellers in action to push the price towards $11.40. Overall, the price may remain in a range for quite some time before making a decision.