Ethereum (ETH) is down 20% in the last week and triggering a negative sentiment in the market.
- Ethereum stalls and fails to make a comeback in the last week
- ETH flunks at reclaiming $2,000 level
- Ethereum RSI indicates a bearish stance
Additionally, Ethereum also didn’t make it to the $2,000 mark. The bears are trying to yank ETH price down and pin down the bulls.
Only the daily chart, there is a formation of a rising wedge pattern indicating that a bearish movement could drag on. The bulls are looking to stave off a decline shooting below the $1,700-$1,800 levels.
RSI for Ethereum has also retrograded below the baseline implying that the bears are now on top of the market.
According to CoinMarketCap, Ethereum is down 21% and trading at $1,571.25 as of this writing.
If ETH/USD pair continues to plunge, the next support is now clustered at the $1520-$1570 range. This new support line is the result of the convergence between 50-day moving average line and the 100-day moving average.
Now, if this level breaks, a bear structure may form, that can send Ethereum dropping to $1,280. To sustain the bullish momentum, the bulls will have to maintain its price above $1,700.
Ethereum has triggered a massive selling pressure as it heads south providing a knife-catching break. With Ethereum’s 21% decline, this proves to validate that the bears were able to breach the ascending wedge, an important signal for bears to penetrate the market.
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