Ethereum price remains in a bearish zone below 0.0320BTC against bitcoin. ETH/BTC is likely to continue lower towards the 0.0303BTC or 0.0290BTC.
- Ethereum price accelerated declines and traded below the 0.0320BTC support.
- ETH/BTC is forming another breakout pattern with support at 0.0313BTC on the 4-hours chart.
- ETH price could continue to move down once it breaks the 0.0313BTC and 0.0310BTC supports.
Ethereum price analysis (ETH/BTC)
In the last analysis, we discussed that Ethereum price could decline further towards the 0.0300BTC or 0.0295BTC support levels versus bitcoin. ETH to BTC did move down and traded close to the 0.0300BTC support level.
The 4-hours chart of ETH/BTC indicates that the price traded as low as 0.0303BTC and settled below the 50 simple moving average (4-hours). Later, the price started an upside correction and moved above the 0.0310BTC level.
The price even moved above the 23.6% Fibonacci retracement level of the last decline from the 0.0346BTC high to 0.0303BTC low. However, the upside move faced a significant resistance near the 0.0320BTC level (the previous support) and the 50 simple moving average (4-hours).
There were 4-5 attempts by buyers to clear the 0.0320BTC resistance, but they failed. At the outset, the price is forming another breakout pattern with support at 0.0313BTC on the same chart.
Therefore, the price may soon either break down below the 0.0310BTC level or above the 0.0320BTC resistance. On the downside, below 0.0310BTC, the price is likely to test the 0.0300BTC support. The next key support is positioned near the 0.0295BTC level.
On the flip side, if the price breaks above the 0.0320BTC resistance, it will most likely open the doors for a larger upward move. The next major hurdle is at 0.0330BTC or 0.0336BTC. An intermediate resistance is the 50% Fibonacci retracement level of the last decline from the 0.0346BTC high to 0.0303BTC low at 0.0325BTC.
To sum up, Ethereum price remains at a risk of more losses unless buyers manage to push the price above the 0.0320BTC and 0.0325BTC resistance levels, and the 50 simple moving average (4-hours).
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