A look at the Weekly chart in logarithmic form for Ethereum shows that the price hit the major resistance area near $170, coinciding with the 21-period moving average and got pushed back
It created a bearish inverted hammer, followed by two small bearish candles. It is currently at $142.
The main support area is found near $85, with another one being near $65.
The price is trading below the 21 and 50-period moving averages and the Ichimoku cloud.
The RSI is at $38, indicating neither overbought nor oversold conditions.
The MACD has made a bullish cross and is moving upward, but is not positive yet.
A look at the 3-day chart shows that the price is potentially following an ascending support line, which has however only been validated twice.
We can also see that when price made the double top at $160, the RSI was at a higher level than the first top, indicating that there is buying power present.
However, the price faced close resistance from the edge of the Ichimoku cloud.
Furthermore, the 21-period moving average was close to making a bullish cross, but was rejected and is now falling down.
Also, the MACD was close to turning into positive territory but struggled to break out above 0.
A look at the Daily chart shows us that price is currently slightly above the 0.5 fib line of the entire upward move near $120.
The price has been following the ascending support line for the past 79 days.
Also, we can see that the bearish candle of February 24th occurred on significant volume.
Finally, the MACD has made a bearish cross and is falling, but is not negative yet.
Short-Term Outlook and Price Prediction
A look at the 6-hour chart shows that the drop was preceded by bearish divergence in both the RSI and the MACD.
The price dropped all the way to the 200-period MA, which is currently offering support.
However, the 21 and 50-period moving averages have made a bearish cross and are offering resistance to the price, who has also fallen below the Ichimoku cloud.
I believe that during this week the price will continue to fall to the support area near $115, right above the ascending support line.
- The price has made a double top pattern.
- The drop was preceded by bearish divergence.
- The price is trading below most moving averages.
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Ethereum Weekly Logarithmic Chart – Source: Tradingview.com A look at the Weekly chart in logarithmic form for Ethereum shows that the price hit the major resistance area […]