íàçâàíèå

Below $500? Ether Price Seeks Floor After 40% Drop

Below $500? Ether Price Seeks Floor After 40% Drop

The 40 percent month-on-month decline of ethereum's ether cryptocurrency has pushed the long-term price floor down to $300, the technical charts indicate.

As of writing, the world's second largest cryptocurrency by market capitalization is changing hands at $534, as per CoinMarketCap.

Stepping back, ether's sharp reversal from the Feb. 6 low of $555 (prices as per Coinbase) and the rally to near $1,000 in the subsequent days meant the cryptocurrency had established a strong price floor below $600. That now looks to have been pushed down.

Daily chart


As seen on the chart above, ETH left lower highs around the key descending trendline, as the rally from Feb. 6 lows ran out of steam and sellers took over after the cryptocurrency fell below its 100-day moving average (MA) on March 6.

The transfer of power from bulls to bears pushed the price down to $450 on March 18 - the lowest level since Dec. 11.

During that process, the cryptocurrency also witnessed a head-and-shoulders reversal on March 14  - indicating that the rally from the December 2016 low of $5.81 has ended and the bears have regained control. Further, a 50-day MA and the 100-day MA bearish crossover was confirmed on March 15.

So, ETH will likely find acceptance below $546 (61.8 percent Fibonacci retracement of December 2016 to January 2018 rally) and extend the drop to $300 (78.6 percent Fibonacci retracement) over the next couple of months.

View


The price floor looks to have dropped to $300.
That said, oversold conditions in the near-term may help ETH defend the March 18 low of $450.
Only a convincing move above the head-and-shoulders neckline resistance (former support now seen at $661) would abort the bearish view.
A move above $982 would signal a long-run bearish-to-bullish trend change.

ETH/BTC chart



The head-and-shoulders breakdown has opened the gates for a drop to BTC 0.045 (78.6 percent Fibonacci retracement).
In the short-term, oversold conditions could yield a minor corrective rally to the neckline resistance, currently seen around BTC 0.072.
A long-term bullish reversal is seen only above BTC 0.0895 (Feb. 26 high).

Ether image via Shutterstock

20.03.2018 / 07:30 87
Bitcoin, Ethereum, Bitcoin Cash, Ripple, Stellar, Litecoin, Cardano, NEO, EOS: Price Analysis, March 19 Bitcoin, Ethereum, Bitcoin Cash,
Technical analysis on top 9 cryptocurrencies. The views and opinions expressed here are solely those of the author and do not necessarily reflect the
NEO, EOS, LTC, Monero, Lumens: Technical Analysis March 16, 2018 NEO, EOS, LTC, Monero, Lumens:
There is a flicker of hope at-least in the short term and if we consider yesterday’s shift in momentum across these liquid alt coins then there is a
Bitcoin Cash Price Technical Analysis – BCH/USD Crashes Below $1,000 Bitcoin Cash Price Technical Analysis –
Key Points Bitcoin cash price declined sharply and moved below the $1,000 support against the US Dollar. There was a break below a crucial bullish
NEO, EOS, LTC, Monero, Lumens: Technical Analysis March 14, 2018 NEO, EOS, LTC, Monero, Lumens:
While there is an obvious slide of altcoins prices, there is hope for EOS, LTC and NEO. Technically, these charts are hinting of possible price
Bitcoin, Ethereum, Bitcoin Cash, Ripple, Stellar, Litecoin, Cardano, NEO, EOS: Price Analysis, March 10 Bitcoin, Ethereum, Bitcoin Cash,
Technical analysis on top 9 cryptocurrencies. The views and opinions expressed here are solely those of the author and do not necessarily reflect the
Altcoin Analysis: NEO, EOS, LTC, IOTA and Lumens Altcoin Analysis: NEO, EOS, LTC, IOTA
Of the 5 altcoins under our focus, I will recommend Lumens and EOS buys considering latest price action development. Yes, there is some minor
Comments (0)
Add a comment
Comment on