Ether’s price is preparing for the next wave against the US dollar. ETH/USD must hold the $480.00 support to remain in a positive zone.
Ether’s price is forming a short-term bearish pattern below $515.00 against the US dollar.
A contracting triangle is formed with support at $480.00 on the 6-hour chart of ETH/USD.
ETH/BTC continued to move higher and is currently placed nicely above the 0.0750BTC support.
Technically, the hourly chart indicators are slowly moving lower in the bearish territory.
Ether Price Analysis
Yesterday, we discussed a slight increase in the bearish sentiment below $500.00 in ETH/USD. The pair remained under pressure with resistances near $500.00, $515.00, and $520.00.
On the other hand, ETH/BTC is showing positive signs above the 0.0750BTC. The next major resistances are at 0.0780BTC and 0.0800BTC.
Looking at the hourly chart of ETH/USD, the pair formed a high at $526.29 and started a downward move. It declined below the 50 percent Fibonacci retracement level of the last wave from the $450.60 low to $526.29 high.
More importantly, there was a bearish break below a contracting triangle with support at $495.00. The next support sits near the 61.8 Fibonacci retracement level of the last wave near $480.00. Below this, the most important support awaits above the $460.00 level.
Moving up to the 6-hour chart of ETH/USD, the pair clearly started a crucial decline after it broke a connecting bullish trendline with support at $600.00. A low was formed at $450.60 and Ether is currently forming a contracting triangle with support at $480.00 for the next move.
A bullish break above $500.00 followed by a close above $515.00 may perhaps push the price into a bullish zone. On the flip side, a break and close below $480.00 could increase selling pressure on Ether in the near term.
To sum up, traders must keep a close eye on important supports on the downside at $480.00 and $460.00 for the next wave.
Important Resistance Levels
$500.00 and $515.00
Important Support Levels
$480.00 and $460.00
The RSI declined below 50 and is approaching the 35 level.
The MACD is gaining momentum in the bearish zone.
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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