Published 3 hours ago
The eleven consecutive red candles on a weekly time frame chart reflected a dramatic fall in Ethereum (ETH) prices. Furthermore, the coin price tested the combined support of $1000 and 0.786 Fibonacci retracement, which broke the losing streak with this week’s green candle. However, the buyers’ struggle to reclaim the near resistance of $1300 suggests the bears are still in charge.
- The ETH chart shows the first weekly green candle after eleven red ones.
- The coin faces selling pressure near the $1300 resistance.
- The intraday trading volume in Ethereum is $12.3 Billion, indicating an 11% loss.
The June second-and-third week sell-off extended the prevailing downtrend to a low of $896.11. However, the ETH price managed the weekly candle closing above the $1000 mark, indicating the buyers are defending this psychological level.
Furthermore, the ETH price showcased a relief rally to the immediate resistance of $1250 despite a quite volatile week. However, the altcoin is down 1% today and shows long-work rejection at the mentioned resistance.
This rejection suggests exhaustion of the bullish attempts to drive the ETH/USDT pair higher. The sustained selling pressure could plummet the coin price by 15% and retest the $1000 mark.
If this theory turns out to be true, then it is still early to say the ETH price has bottomed at $1000 as the fallout possibility remains on the cards. Thus, more data is required to validate the altcoin’s sustainability above this support.
Conversely, the $1300 breakout could extend the recovery to $1571.
The Bollinger Band indicator’s midline aligned with $1300 accentuates the reversal possibility. The ETH price trading below this neutral line indicates the bears maintain an upper hand.
However, the vortex indicator’s VI+ and VI- lines nearing each other indicate a loss of bearish momentum. This suggests the buyers could manage to defend the $1000 support.
- Resistance level- $1300, and $1424
- Support level- $1000 and $880
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Read More: Will ETH Relief Rally Revert From $1300?