Ethereum price declined further below the 0.0250BTC support bitcoin and below $90.00 versus the US dollar. ETH/BTC is still facing a lot of hurdles on the upside near 0.0270BTC.
- Ethereum price extended losses and declined below the 0.0280BTC and 0.0250BTC supports.
- ETH/BTC is trading below two important bearish trend lines with resistance near 0.0270BTC on the 4-hours chart.
- ETH price may continue to face a strong selling interest near 0.0270BTC and 0.0274BTC.
Ethereum Price Analysis (ETH/BTC)
During the past few days, there was a slow and steady decline in Ethereum price below 0.0280BTC versus bitcoin and below $100.00 against the US dollar. Sellers even pushed ETH to BTC below the 0.0250BTC support before buyers appeared.
The 4-hours chart of ETH/BTC indicates that the price extended losses below the 0.0280BTC and 0.0260BTC support levels. It traded close to the 0.0245BTC level and settled below the 50 simple moving average (4-hours).
A low was formed near the 0.0246BTC level and later the price bounced back above 0.0250BTC and 0.0255BTC. The price recently formed a swing low at 0.0254BTC and it is currently consolidating below the 0.0270BTC resistance.
Buyers recently made an upside attempt above the 50% Fib retracement level of the last drop from the 0.0282BTC high to 0.0254BTC low. However, they failed to push the price above 0.0270BTC and the 50 simple moving average (4-hours).
More importantly, the price is trading below two important bearish trend lines with resistance near 0.0270BTC on the same chart. ETH needs to surpass both trend lines, 0.0270BTC, and the 50 SMA to gain bullish momentum.
The next resistance above 0.0270BTC is the 76.4% Fib retracement level of the last drop from the 0.0282BTC high to 0.0254BTC low at 0.0275BTC. A successful close above 0.0275BTC may clear the path for buyers to take control. If not, there is a risk of a fresh decline below 0.0255BTC and 0.0250BTC in the near term.
Overall, ETH/BTC may continue to struggle as long as it is below 0.0270BTC and 0.0275BTC. Similarly, ETH/USD must break the $100.00 barrier for a solid recovery towards $125.00.
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Aayush is a Senior Forex, Cryptocurrencies and Financial Market Strategist with a background in IT and financial markets. He specialises in market strategies and technical analysis and has spent over a decade as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the currency, commodities, Bitcoin and Ethereum markets. Tou can follow him on twitter at @aayushJS or reach out to him at aayush[at]coingape.com