Ethereum [ETH] Prices Drop Beneath $200 After Major Bitcoin [BTC] Sell-Off

• Ethereum prices dropped by a total of 10% as it falls to the $190 level.
• This price drop is largely a result of the BTC price fall.

Ethereum dropped by a total of 10% today as the cryptocurrency dropped beneath the $200 level and reached the $190 mark. The cryptocurrency was previously trading above $210 but with BTC breaking back beneath $9,000 today the market started to drop aggressively.

During the sell-off, Ethereum managed to find support at the 100-days EMA at around $180 where it managed to rebound and reach $190. 

Ethereum Price Analysis

ETH/USD – Daily CHART – SHORT TERM

Market Overview

Taking a look at the daily chart above, we can see that ETH had reached a high of around $220 during May 2020 and was unable to break above this level. It dropped into $200 during the first week of May but quickly recovered as it headed back above $210. 

However, when BTC dropped today, we can see that ETH also suffered heavily. It plummetted beneath the $200 level and dropped as low as $180 where it found support at the 100-days EMA. It rebounded higher from here to trade at the $190 level.

Short term prediction: NEUTRAL

The drop back beneath $200 has now turned Ethereum neutral. The cryptocurrency would have to climb above $220 to turn bullish again. A closing candle beneath $180 would likely turn Ethereum bearish in the short term.

If the sellers do push lower, the first level of support is located at $180 (100-days EMA). Beneath this, support lies at $175 (.382 Fib Retracement), $159 (.5 Fib Retracement), and $150.

On the other side, if the bulls regroup and push higher, resistance lies at $190, $200, and $210. Above this added resistance is found at $218 (bearish .786 Fib Retracement), $225, $230, and $235 (bearish .886 Fib Retracement).

Key Levels

Support:  $190, $180, $176, $170, $160, $159, $150.

Resistance: $190, $200, $210, $218, $223, $235, $240, $250.