Ethereum Holds Above $3,000 Support as Sellers Threaten Continuation of Downtrend

Apr 16, 2022 at 06:55 // Price
Author
Coin Idol
This movement will continue until the moving average lines are broken

The price of Ethereum (ETH) is in a downtrend as the largest altcoin fluctuates above the $3,000 support.

In other words, Ether is trading above the 50-day line SMA, but below the 21-day line SMA. This means that Ethereum is in a range bound movement between the moving averages. This movement will continue until the moving average lines are broken. 

Long-term analysis of Ethereum price: Bullish

Today, Ether is trading at $3,025.80 at the time of writing. If the bears break below the current support, the market will fall to $2,720. After that, Ether will fall to the low of $2,491. On the upside, ETH/USD will resume the uptrend if buyers push the altcoin above the 21-day line SMA.

Ethereum indicator analysis 

The largest altcoin has fallen to the 45 level of the Relative Strength Index for the 14 period. Ether is in the bearish zone and could fall downwards. The price of the cryptocurrency is below the 21-day line SMA, but above the 50-day line SMA, indicating a possible range-bound movement of the cryptocurrency. Ether is below the 40% area of the daily stochastic. Ether is in a bearish momentum. 

ETHUSD(Daily_Chart)_-_April_15.png

Technical Indicators: 

Key resistance levels - $4,500 and $5,000.

Key support levels - $3,500 and $3,000 

What is the next direction for Ethereum? 

Ether is falling as it faces rejection at the $3,050 resistance level. Meanwhile, selling pressure will resume as the price falls below the $2,951 support. Meanwhile, the April 11 downtrend has shown a candle body testing the 61.8% Fibonacci retracement level. The retracement suggests that Ethereum will fall to the 1,618 Fibonacci Extension level or $2,720.28.

ETHUSD(4_Hour_Chart)_-_April.png

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.

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