NewsletterEthereum Price Analysis: Range Fallout Hint Extended Correction For ETH
The Ethereum(ETH) price resonated between the $3160 and $3000 level for nearly two weeks, creating a narrow range. However, the sellers took advantage of the current uncertainty in the market and breached the bottom support. The range fallout may accelerate the selling momentum and slump the altcoin to $2800.
Key points:
- The 20 and 50 DMAs are preparing a bearish crossover
- The MACD indicator forecasts a bearish continuation
- The intraday trading volume in Ether is $8.05Billion, indicating a 39.5% loss
Source- Tradingview
Responding to the Bitcoin flash drop beneath the $4500 support, the Ethereum(ETH) price turned down from the $3600 resistance. The minor correction tumbled the altcoin by 16%, bringing it to $3000 psychological support.
Furthermore, the buyers struggled to sustain above the local support, creating a narrow range. However, this consolidation ended in sellers’ favor as the coin price breached the $3000 mark on 22nd April.
The sustained selling pressure may sink the ETH price by another 5%, bringing it to $2800 support.
Moreover, an upcoming support trendline may strengthen the $2800 support zone and stall the ongoing correction.
Global In/Out of the Money metric
The Global In/Out of the Money (GIOM) on-chain metric suggests for the current Ether price($2918), 69.84% of ETH holders are in profit, whereas 26.8% of holders are in loss.
The nearest green cluster with a mean value of $2672 indicates a significant Area of Interest(AOI) which could help buyers revert the ongoing correction.
On the flip side, the red cluster of $3065 accentuates the importance of this chart level.
Technical Indicator
The MACD indicator shows a falling trend of the fast and slow lines slipping into the negative territory with a considerate growth in bearish histograms. Hence, the indicator forecasts a further continuation of the bearish trend.
The 20 DMA freefall is ready to crack below the 50 DMA to achieve a bearish alignment and signal a selling spot.
- Resistance level: $3281 and $3600
- Support levels: $2750 and $2500
- Bitcoin Push Positions Steak ’n Shake for Accelerated Q3 Sales Growth
- Scaramuccis Lead Major Investment in American Bitcoin Tied to Trump Family
- Expert Predicts Further Downside For Bitcoin As Fear and Greed Index Drops To 10
- Solana and XRP ETFs Attract Fresh Inflows Even as Crypto Market Falls
- BLS to Release Jobs Report on Nov. 20 as Uncertainty Over Fed Rate Cut Persists
- Ethereum Price Outlook: Will Bulls Defend $3,000 Support Level?
- Litecoin Price: With a 12% Surge and Pearson BTC Correlation at –0.01, Is LTC Gearing Up for $125?
- What’s Next for Chainlink Price After 53.87 Million Tokens Accumulated
- What the New Bitcoin Model Predicts About a Possible $200K BTC Price Target?
- Zcash Price Soars 45%: Here’s Why
- Bitcoin Price Pattern Points to a Crash to $62k as Fed Cut Odds Fall to 54%
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
