Ethereum Slumps as Bears Overrun Bulls

The downtrend continued to a low of $101 on March 12. Later, Ether pulled back above $120 and resumed consolidation. As the market is oversold, buyers are likely to emerge. The uptrend is likely if the price is sustained above $120 support.

A rally is possible if the bulls defend the support and maintain the price above it. A rally above $140 is expected, followed by the resumption of an upward move. Nonetheless, if the support is held for days, we will assume that the bulls have taken control of the market. It will also mean that the downward move has subsided.

Ethereum Indicator Analysis 

Ether is below the 20% range of the daily stochastic. The stochastic bands are horizontally flat. This is an indication that the bulls are yet to appear in the oversold area of the market. Nevertheless, if the bullish momentum has resumed, the bands will be above the 20% range.

Key Resistance Zones: $220, $240, $260

Key Support Zones: $160, $140, $120

What Is the Next Move for Ethereum? 

Ethereum is presumed to be out of the downward move if price is sustained above the $120 and the momentum extends above $140 price level. On the other hand, if the bulls turn down from $120 price level and break below the $100 support, it will portend negatively for the coin. Most likely, ETH will reach a low of $87.

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