Ethereum Makes Sharp Fall at $2,000 Overhead Resistance

Mar 15, 2021 at 13:38 // News
Coin Idol
Ethereum is in bearish momentum

Despite a rebound above $1,700 support and subsequent breaking of the $1,800 resistance, the $2,000 overhead resistance could not be breached. Today, Ether prices are falling along with Bitcoin. The biggest altcoin was repelled after reaching a high of $1,928.30.

After an initial drop to $1,840, the price retested the $1,880 high to resume the downtrend. The ETH/USD has declined to $1,770 support at the time of writing. The current downward move may reach a low of $1,700. The bulls may buy the dips if the price falls above $1,700. This will allow buyers to push the price and retest the $1,800 resistance. Subsequently, a retest at the $2,000 overhead resistance is possible. Further upside movement of price is possible once the overhead resistance is breached.

Ethereum indicator analysis  

Ethereum is below the 40% range of the daily stochastic. The altcoin is in bearish momentum. Ether price is above the 21-day and 50-day SMAs which indicates a possible rise in price. The price is at level 54 of the Relative Strength Index period 14. It indicates that price has room to rally on the upside.

ETH - Coinidol (1).png

Technical indicators:  

Major Resistance Levels – $2,500 and $2,700

Major Support Levels – $1.500 and $1,300 

What is the next direction for Ethereum? 

Ethereum is on a downward move. The selling pressure may have been exhausted. The Fibonacci tool has earlier indicated a possible move on the upside and subsequent reversal. On March 10 uptrend; a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement indicates that ETH will rise to level 1.272 Fibonacci extension or the high of $1,993.48. Ether is to reverse and return to 78.6% Fibonacci retracement level where it originated. Today, the price action has confirmed this level and the upward move is likely.

ETH - Coinidol 2 chart (1).png

Disclaimer. This analysis and forecast are the personal opinions of the author that 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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