Home
News
- Ethereum coin has broken out of the symmetrical triangle pattern on the lower time frame, also hitting a fresh 6-month low.
- For a reversal outlook, Ethereum price action needs to take support near the $1700 round level.
- Last night, trading volume was at its peak this week as volumes reached over $23 billion in a single day.
Recently, Ethereum Coin founder Vitalik Buterin conducted two thought experiments on how to establish whether an algorithmic (algo) stablecoin is feasible in the long term.
Thought Experiment 1: Can stablecoins, even in theory, be safely “wind down” to zero users?
Thought Experiment 2: What happens if you try to link a stablecoin to an index that moves 20% per year?
It now remains to be seen how strongly this statement will affect the Ethereum coin in the long term.
Price analysis of ETH
As on the 4 hours price chart, the Buterin’s coin Ethereum has slipped down from the symmetrical triangle pattern as well as observed below last week’s swing low. But it doesn’t mean that this is the bearish circumstances cause buyers are looking for an opportunity where the $1700 mark must act as a trend changing zone.
The rest of the Ethereum coin in the article appears to be in a recovery mood as it attempts a higher approach at the start of the intraday trading session. Meanwhile, ETH is trading at $1726 at the time of writing with a down change of 1.1%, as per the data from CMC over the past 24 hours.
Meanwhile, Ethereum with bitcoin pair is trading with sideways momentum at 0.0604 satoshis. However, trading volume was at its peak this week as compared to the previous night as volumes reached over $23 billion in a single day
Bears record new 6-month low
On the daily price scale, the RSI indicator is showing minor bullish signals as an attempt is made to take support at 30. At the same time Stoch RSI is yet to reach the oversold zone which is still bearish.
Also the 20 EMA is well above the live price of ETH in like 4 hours and above.
Conclusion
Buyers should try for Ethereum’s stability as its price action supports above the $1700 mark. Meanwhile, if the price slides below this level, there could be a sharp sell-off again.
Technical Levels
Support level – $1700 and $1500
Resistance level – $2000 and $2500
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
