Ethereum Price Prediction: Will ETH Witness A Deeper Correction?

Ethereum Price Prediction: The Ethereum(ETH) price breakdown from the $1237-$1222 support encourages prolonged correction. The coin is currently going growth through a retest phase which will validate whether the prices could sustain this breakdown or not. How far may this potential downfall may pull the ETH price?

Key points: 

• Following the temporary pullback, the ETH pre poised for an 11% fall and surpass the $1160 support
• The 20-day EMA wobbling near the $1222 barrier gives an additional hurdle against a potential rally
• The intraday trading volume in Ether is $4.45 Billion, indicating a 39% loss

Source- Tradingview

Following the recent downfall, the Ethereum price has shown suitability above local support of $1160. Amid recent uncertainty, the price hovered above this support for around three days, indicating this level as an active support zone.

On December 20th, the Ethereum price jumped from this support with a bullish candle of 4.5% intraday gain. However, this minor relief rally hit the immediate resistance of $1237-$1222 and could face replenished bearings momentum.

Today, the Ethereum price trades at $1213 with an intraday loss of 0.2%. A Doji candle shown in the daily chart indicates indecisiveness among market participants. Thus, the daily candle showcases uncertainty after following a bullish recovery, indicating a higher possibility for a downtrend resumption. 

Thus, a fresh downfall from the $1222 resistance will tumble the prices 11% down to $1080 support.

On a contrary note, a daily candle closing above $1237 will create a sense of recovery in the ETH price.

Technical Indicator

Moving average convergence/divergence: The MACD and signals line continue to wobble below the neutral, suggesting the market sentiment remains bearish.

Bollinger band: the midline of this indicator wavering around the $1237 mark increase the resistance power for this level possibility for price reversal.

Ethereum Coin Price Intraday Levels-

• Spot rate: $1215
• Trend: Bearish  
• Volatility: Medium
• Resistance level- $1237  and $1300
• Support level- $1160 and $080