ETH/USD Tumbles to New 3-Month Low
|Ether price declined further against the US Dollar and Bitcoin to form a new 3-month low.|
|The ETH/USD pair even broke the $8.00 handle to trade as low as $7.79.|
|There are many resistance levels on the way up for the pair, and a recovery from here won’t be easy.|
Technically, the 4-hours chart indicators continue to remain in the extreme oversold readings.
Ether Price to decline further?
There was yet another new low in Ether price against both the USD and BTC. The ETH/USD traded below the $8.50 support level, broke the $8.00 handle and formed a new 3-month low of $7.79.
There was a sharp decline in Ether price, and looking at the hourly chart, it looks like ETH/USD is under a lot of bearish pressure. If the current trend continues, there is even a chance that the pair may attempt to clear the recent low of $7.79.
It is surprising for many traders, and hard to believe the current decline in Ether price. However, there are also many support levels on the downside starting $7.50 where the buyers may appear.
On the upside, the hourly chart has a couple of bearish trend lines, which are above $8.50 and may act as a hurdle of the pair attempts to correct higher.
The 4-hours chart of ETH/USD is highlighting extreme oversold conditions. It would be interesting to see whether the pair continues to trade further lower or not.
It is about to reach the 1.618 extension of the last wave from the $8.65 low to $9.65 high at $7.50. The stated level may act as a crucial support and the pair may attempt a recovery.
On the upside, an initial resistance is at $8.50-60. It was a support zone earlier, and may now act as a resistance in the short term. Overall, there are chances of additional declines in ETH/USD, but sellers need to be very careful going forward.