Ethereum has seen a well received +8.46% price increase over the past 24 hours of trading. The cryptocurrency is now exchanging hands at a price around $94.70, at the time of writing, as the ETH/USD market now sees a positive 7 day rolling price increase totalling +3.80%.
- Ethereum sees a 8% price increase over the past 24 hours of trading.
- The market ran into resistance at the $100 handle.
- Support moving forward -$93.94, $89.87, $84.40, $84.10, $80.25, $70, $68.83, $64.55, $52.41.
- Resistance moving forward – $98.90, $100, $104, $107, $111.65, $130.83.
Ethereum is still ranked in 3rd position in the market cap rankings after being overtaken by Ripple. Ethereum presently holds a total market cap value of around $8.79 billion after seeing a distorts 30 day trading period in which the value of ETH/USD dropped by a significant 46%.
The 40 month old project is now trading at a price that is 93% lower than its all time high price, this means that it has dropped a significant 93% in value since placing the all time high earlier this year.
Let us continue to analyse price action for Ethereum over the short term and proceed to highlight any potential areas of support and resistance moving forward.
Ethereum Price Analysis
ETH/USD – SHORT TERM – 4HR CHART
Analysing price action from the short term perspective, we can see that, since our last analysis, price action for ETH/USD had dropped into our expected support area at the long term downside 1.414 Fibonacci Extension level (drawn in purple) priced at $84.00. After hitting this level of support the market had rebounded and began to surge.
We can see that the market had surged right into resistance provided by the previous long term downside 1.272 Fibonacci Extension level (Drawn in purple) priced at $98.90 before retracing once again. Price action had even hit the $100 handle where there was resistance provided by the bearish .382 Fibonacci Retracement level (drawn in green) priced at $100.42.
Moving forward, if the price of ETH/USD continues to drop further lower we can expect immediate support to the downside to be located at the short term .382 and .618 Fibonacci Retracement levels (drawn in blue) priced at $93.94 and $89.87, respectively.
IF the market continues to drop even further below the $89 handle more support can be expected at the short term .786 Fibonacci Retracement level (drawn in blue) priced at $86.97. Further support beauty can then be located at the previous long term downside 1.414 Fibonacci Extension level (Drawn in purple) priced at $84.00.
If the sellers continue to push price action below this $84 strong support level then more support beneath can then be located at the long term downside 1.272 Fibonacci Extension level (Drawn in red) priced at $80.25.
Alternatively, if the bulls manage to break above the resistance at $98.90 they will meet significant resistance above at the $100 handle. If the can continue to climb above $100 we can then expect further higher resistance to be located at the short term 1.272 and 1.414 FIbonacci Extension levels (drawn in blue) priced at $104 and $107.
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Yaz is a cryptocurrency technical analyst and has been actively trading financial markets for over 7years, with 4 years of crypto experience. He is an Economics graduate who has taken a keen interest on the future potentials of blockchain in the financial industry. Aside from cryptocurrency and trading Yaz enjoys spending his time watching his favourite football team (Liverpool F.C.) compete as well as keeping up-to-date with the UFC. Follow him at @TcmYaz.