- Ethereum consolidates Friday’s sell-off to 115.80 in Saturday’s trading.
- Last week’s downtrend stays intact amid potential bear flag on the daily chart.
- A retest of 115.00 remains on the cards for the ETH/USD bears.
Having witnessed a volatile trading session on Friday, Ethereum (ETH/USD) is seen consolidating in $10 range so far this Saturday. The second-most traded cryptocurrency lost almost $40 a day before, having rallied as high as $153.32 before crashing to $115.80. The coin did manage to reverse a part of the previous losses, but is still not out of the woods yet, as the recovery lost legs near 137.50 region.
At the time of writing, Ethereum is down nearly 1.50% around 131.50, enjoying a market capitalization of about $ 14.44 billion.
Short-term technical outlook
As observed in the daily chart, the price traverses within a rising channel, charting a potential bearish flag pattern. The bearish continuation pattern will get confirmed only on a daily closing below the channel support at 114.70.
Last week’s downtrend will resume below the latter, opening floors for a test of the immediate support seen around 110 levels. A failure to defend the last will put the March 13 low of 89.65 at risk. The daily Relative Strength Index (RSI) trades flat below the mid-line and wells above the oversold territory, suggesting that there is further room for declines. Further, adding strength to the bearish bias, the spot trades below all the major daily Simple Moving Averages (DMA).
On the flip side, the bulls need to portray a sustained breakthrough the immediate resistance located at 146.60, the rising channel resistance, above which the 175.180 area will test the bulls’ commitment. That area is where the horizontal 100 and 200-DMAs intersect with the bearish 21-DMA.
All in all, the path of least resistance appears to the downside amid a bearish pattern formation and a cluster of strong upside barriers stacked up for the bulls to beat.
ETH/USD daily chart
ETH/USD key levels to consider
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Ripple's XRP set sights on $1.100 following renewed investor interest
Ripple's XRP rallied nearly 20% on Tuesday, defying the correction seen in Bitcoin and Ethereum as investors seem to be flocking toward the remittance-based token.
Dogecoin Price Prediction: Could DOGE ETF spark new all-time high after 130% rise?
Dogecoin rose over 15% on Tuesday as traders anticipate a price move toward the $1 threshold following Bloomberg analyst Eric Balchunas's post regarding a DOGE exchange-traded fund.
Hedera's HBAR rallies nearly 20% as Canary Capital files for HBAR ETF
Hedera's HBAR is up nearly 20% on Tuesday as Canary Capital submitted an S-1 registration to the US Securities & Exchange Commission for an HBAR exchange-traded fund.
Ethereum Price Forecast: ETH down despite hype from Beam Chain unveil
Ethereum is down 1% on Tuesday despite developer Justin Drake proposing the Beam Chain, a new consensus layer that aims to ship a series of changes that will fast-track the Main chain's roadmap to faster block times and quantum resistance.
Bitcoin: Further upside likely after hitting new all-time high
Bitcoin hit a fresh high of $76,849 on Thursday as crypto-friendly candidate Donald Trump won the US presidential election. Institutional demand returned with the highest single-day inflow on Thursday since the ETFs’ launch in January.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.