to leave a comment.
▲ Ethereum (ETH)
Analysis suggests that Ethereum (ETH) is facing a risk of a key support line collapse, standing at a crossroads between a short-term rebound and further decline.
According to crypto-specialized media NewsBTC on April 20 (local time), Ethereum failed to break the $2,500 resistance and turned bearish. Subsequently, the $2,420 and $2,400 support levels successively collapsed, widening the decline. The short-term uptrend channel also broke down, intensifying downward pressure.
The price fell to the $2,350 support level, where a low was formed. While some rebound followed, the upward movement was limited. The current price is trading below $2,425 and the 100-hour Simple Moving Average.
Upper resistance is also clear. The $2,400 to $2,410 range acts as the initial resistance. This zone coincides with the 50% Fibonacci retracement level of the previous decline. If this range is not broken, the momentum for a rebound is likely to be limited.
Technical indicators also point to weakness. The Moving Average Convergence Divergence (MACD) showed slowing momentum in the declining phase. The Relative Strength Index (RSI) fell below 50, indicating significantly weakened buying pressure.
On the downside, $2,350 is the key defense line. If this level breaks, further declines to $2,300 and then $2,250 are possible. Conversely, if $2,410 is broken, there is room for a rebound to the $2,450 and $2,550 range. The market has now entered a turning point to determine its direction.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
Newsletter
Get key news delivered to your email every morning
to leave a comment.