Ethereum price jaw dropped below 0.0275BTC against bitcoin and below $110.00 versus the US dollar. ETH/BTC is following a massive downtrend and it could struggle to recover above 0.0275BTC.
Important Points:
- Ethereum price declined recently and broke the 0.0300BTC and 0.0275BTC support levels.
- ETH/BTC is following a major declining channel with resistance near 0.0275BTC on the 4-hours chart.
- ETH price could correct higher, but it is likely to face sellers near 0.0275BTC and 0.0280BTC.
Ethereum Price Analysis (ETH/BTC)
The past few weeks were pretty bearish for Ethereum price versus bitcoin and US dollar as it fell below 0.0275BTC and $110.00 respectively. Sellers remained in action and pushed ETH to BTC below the 0.0300BTC and 0.0275BTC support levels.
The 4-hours chart of ETH/BTC indicates that the settled below the 0.0300BTC support level and the 50 simple moving average (4-hours). Later, there was an upside correction, but the same support near 0.0295BTC and 0.0300BTC acted as a solid hurdle.
Chart sourced by TradingView, Bitfinex
The recent decline was such that the price even broke the 0.0260BTC support. A new multi-month low was formed near 0.0258BTC and the price is still following a massive downtrend.
On the upside, the first hurdle for buyers is near the 23.6% Fib retracement level of the last drop from the 0.0290BTC high to 0.0258BTC low. More importantly, there is a major declining channel in place with resistance near 0.0275BTC on the same chart.
The channel resistance near 0.02750BTC coincides with the previous support area. Besides, the 50% Fib retracement level of the last drop from the 0.0290BTC high to 0.0258BTC low is also near 0.0275BTC.
Therefore, if the price corrects higher from the current levels, the previous supports near 0.0275BTC and 0.0280BTC are likely to act as solid barriers for buyers. On the downside, an immediate support is near the 0.0258BTC low, below which the price could test the 0.0250BTC or 0.0242BTC level.
Overall, ETH/BTC remains in a crucial downtrend below 0.0275BTC. Similarly, ETH/USD is struggling to stay above the $100.00 support, which could increase a lot of pressure on Ethereum buyers in the near term.
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I am an entrepreneur and a writer with a bachelors degree in Computer Science. I manage the blockchain technology and crypto coverages at Coingape. follow me on Twitter at @arya_achal or reach out to me at achal[at]coingape.com. 