ETH again lost the key level of $ 4,000. In the following analysis, we will try to understand what this means for the second largest crypto in the short term.
Key assistance levels: $ 3,738
Key Resistance Levels: $ 4,000, $ 4,435, $ 4,868 (ATH)
After a few days of holding the crucial level above $ 4000, the price of ETH fell below this key price area, which again turned to strong resistance. The momentum just wasn’t there to keep a price above it. As mentioned earlier, the recent price movement has been followed by a low volume of transactions.
Current support is at $ 3,738 and will likely be retested if the bulls do not step up soon.
Trade volume: As said before, the volume was extremely low at the start of the week and the bears took advantage today. The price slipped on the renewed volume, which is bearish.
RSI: The daily RSI is also down, and it is below 50 points, indicating that the bears are controlling the price action.
MACD: The daily MACD remains bullish and loses momentum. The histogram and moving averages may soon switch to the bearish side if the current downtrend continues.
The bias for ETH is bearish right now due to the current price action.
Short term price prediction for ETH
ETH failed to hold more than $ 4,000. This is a major red flag that may cause sellers to lower ETH to the current support at $ 3,738. ETH is unlikely to be able to recover anytime soon; therefore, the best hope is for price to hold above key support as the bulls gather strength.
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