Bear or Bull: Ethereum (ETH) Puts the Investors in Dilemma
Ethereum is the second generation Blockchain, which acts as a platform for DApps. Ethereum Blockchain utilizes Ether as their native token, which is represented by ETH across the Cryptocurrency exchanges.
ETH Price Analysis
Prices are inside Kumo, and it’s currently trading along Senkou Span A in 1 Week Time Frame, and Senkou Span A also coincides with the weekly key support around $191.53. Thus, it would be wise to wait and see where ETH price will go, whether it bounces from the key support or goes below towards critical support at $80.56.
Going through 1D Time Frame, it is clear that the Ethereum price is struggling to do S/R (Support/Resistance) Flip of weekly key support at $191.53, which also coincides with 61.8% fib level on Fib retracement tool and looks like it is acting as a resistance now. Prices are currently supported by 49 day SMA (Simple Moving Average) at $180.95. It is very important to see whether prices will bounce from this key support area of $180 – $190 or goes back towards critical support of $80 range. If prices bounce from here next important level for the ETH coin to do is S/R Flip of 200 days SMA (solid red line) at $215 and beyond that it is a highway to $300-$350 area.
Stochastic Relative Strength Index (Stoch RSI) also indicates that the prices are oversold, and most likely there will be a shift. Please refer below given Stoch RSI chart where Blue solid line is making a Golden cross with Red solid line.
Looking at 4H Time Frame, it is evident the prices are held by 200 days SMA (Simple Moving Average) as a support, and it also coincides with 38.20% on Fib Retracement tool. Stoch RSI (Stochastic Relative Strength Index) here is moving towards the oversold zone. Meanwhile, this whole setup can be invalidated by the King, aka Bitcoin; BTC prices itself is struggling to maintain its support at 61.8% Fib level which corresponds to $8500 area. According to Future predictions for Ethereum, If BTC price goes south from here to 78.6% of Fib level, i.e. $8000 area then expect ETH/USD prices too to fall below from 38.2% Fib to 61.8% Fib level or 78.6% Fib level which corresponds to $170 and $163 respectively.
