Ethereum is falling and the current downtrend will extend to the low of $1,560 if the selling pressure persists. The recent downward move is caused by the bull’s inability to sustain the bullish momentum above the $1,800 support.
Buyers made concerted efforts on three occasions but were not sufficient to retest the $2,000 overhead resistance. They made three moves to reach the recent high. On March 9, they were repelled at the $1,850 price level.
After a pullback, the resistance was breached as price reached a high of $1,875. The selling pressure was severe at the recent high which saw Ether decline to $1,760. The bulls were unrelenting as the price corrected up to $1,850 high again. Today, the bears have taken control of price as they breach the previous low at $1,760. Ethereum is trading at $1,777 at the time of writing.
Ethereum indicator analysis
Ether’s price is falling and approaching the SMAs. The uptrend will resume if price falls and finds support above the 21-day or 50-day SMA. The Relative Strength Index has fallen to level 55. It indicates that the price is in the uptrend zone and above the centerline 50. The daily stochastic indicates that ETH has bearish momentum below the 40% range.
Technical indicators:
Major Resistance Levels – $2,500 and $2,700
Major Support Levels – $1.500 and $1,300
What is the next direction for Ethereum?
Ethereum has resumed a downward move because of the rejection at $1,880. The Fibonacci tool has indicated a further downward move of Ethereum. On March 10 downtrend; a retraced candle body tested the 38.2% Fibonacci retracement level. The retracement indicates that ETH will fall and reach level 2.618 Fibonacci extension or the low of $1,569.45.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.
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