- Ethereum price has declined by 10% in two days, suggesting an exodus of bulls from the coin
- Ethereum Price testing support along with $1734, a breach can collapse the coin by 18%
Ethereum price has reached the support of $1734 after a 10% decline, the decline was caused by the rejection from the R-1 pivot level, and the next pivot lies at $1586. The volume analysis indicates shallow daily volumes in the past few sessions, which may cause profit booking. However, the price range volume analysis shows a stalemate between buyers and sellers. The market cap and 24-hour volume are $201,304,695,940 and $23,633,566,346 respectively.
Ethereum Price May Plummet, Brace For Impact
Left Image: On the daily time frame, Ethereum price has made a dark cloud cover candle accompanied by two full-bodied red candles, another day of considerable decline, and the coin will plummet, as it will confirm the reversal by forming a three-dark-crow candlestick pattern. Crucial support for the coin are the following retracements: $1760 (38.2%), $670 (50%), $1583(61.8% retracement) and $1457($78.6% retracement). Resistances are at $1875-$1925 and $2050.
Right Image: The price has breached the 10-EMA($1800) in today’s session and rests over 20-EMA($1731). Simultaneously, the 50-EMA($1600) and 200-EMA($1000) are likely to remit support to coin.
Bollinger Bands have contracted significantly, suggesting a consolidation phase is turning into a reversal, as the price has breached the median – 10-EMA. If the reversal persists and the lower band expands, expect a strong bear rally.
RSI is 53 levels; crucial support for the indicator lies at 50. If the RSI breaches 50-levels, it will signal a sell for the bears, as the price has already breached the 10-EMA and testing 20-EMA.
MACD(8,21,5) also projects a sell signal for the bears by giving a bearish crossover.
Conclusion
Ethereum price has failed to make a new top in the last rally, which signals a strong bear rally in the coin. The indicators have also turned red, as the Median of Bollinger Band git breached, the MACD gave a convergence while the RSI is at the pinnacle of signaling sell.
Support: $1671(50% retracement), $1583(61.8%) and $1457(78.6% retracement)
Resistance: $1870-$1900(23.6% retracement) and $2046-$2050(last Top)