HomeAltcoin NewsEthereum Price Analysis: ETH Could Decline Significantly Below $200

Ethereum Price Analysis: ETH Could Decline Significantly Below $200

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  • Ethereum price topped near the $240 resistance and declined towards $200 against the US Dollar.
  • ETH price is currently correcting losses, but it is facing hurdles near $215 and $216.
  • There is a major bearish trend line forming with resistance near $212 on the 4-hours chart (data feed from Coinbase).
  • The price remains at a risk of a strong decline if it breaks the $200 support area.

Ethereum price is trading in a downtrend below $215 and $220 against the US Dollar. ETH price might start a decent recovery as long as it is above the $200 support.

Ethereum Price Analysis

This past week, Ethereum price failed to surpass the $240 resistance against the US Dollar. The ETH/USD pair topped near the $239 level and later started a strong downward move. It broke the $230 support level to enter a bearish zone. Moreover, there was a break below the $220 support and the 55 simple moving average (4-hours). It opened the doors for more downsides below $210.

Finally, the price traded close to the $200 support area and a swing low was formed near $200. Recently, the price started an upside correction above the $210 level. Moreover, there was a break above the 23.6% Fib retracement level of the major slide from the $239 high to $200 low. However, the recovery was capped by the $215-$216 resistance area (the previous support zone).

More importantly, there is a major bearish trend line forming with resistance near $212 on the 4-hours chart. Above the trend line, the next key resistance is near the $220 level. The 50% Fib retracement level of the major slide from the $239 high to $200 low is also near the $219 level. Additionally, the 55 simple moving average (4-hours) is close to the $220 resistance area.

Therefore, the $212, $215 and $220 levels are important resistances. A successful close above $220 and the 55 SMA is needed for a fresh increase in the near term. On the downside, an immediate support is near the $205 level. The main supports are near $200 and $202. Therefore, a bearish close below $200 might spark a significant drop in the near term.

Ethereum Price Analysis ETH Chart

Looking at the chart, Ethereum price is facing a couple of important hurdles near $212 and $215. If the bulls continue to struggle, there are chances of additional downsides below $205 and $200 in the coming days.

Technical indicators

4 hours MACD – The MACD for ETH/USD is still placed in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI for ETH/USD is currently well below 50, with a bearish angle.

Key Support Levels – $205, followed by the $200 zone.

Key Resistance Levels – $215 and $220.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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