ETH faces another huge loss after enduring a 7% drop in its price, bringing it to a total decline of 30% in a week. Ethereum is on the verge of a huge drop further than it already has been and needs crucial support against both the BTC and USD.
Ethereum/ US Dollar market has returned to its ATH of January 2018
ETH has dropped by almost 30% within the duration of the last seven days. The ETH’s price had just topped its all-time high price of $2k at the end of last week as the demand for ETH soared and its upper boundary was hit. That spike in Ethereum’s price was extremely short-lived, and the price of ETH began retracting after that and started going down at a steep rate, lost more than $600 in its value.
Ethereum’s price closed last Monday with the daily candle going down the increasing price channel, approving the break in the price of ETH. This process continued to happen, and the price kept going down all week until it converged with its previous all-time high price ranging between $1.4 and $1.44k, which happened during Jan 2018.
Yesterday’s drop of 7% in price pushed ETH below its last ATH and closed its price on Bitstamp to an extremely low point of around $1315. Furthermore, this drop in ETH price moved it away from its upward trend line that started from the beginning of this year. The price of ETH has somewhat recovered after that decline and is trading at the price of around $1358, similar to its price at the start of February.
It is crucial for Ethereum to maintain its support level of $1400 by the time the candle closes at midnight. The last time Ethereum’s price closed below $1400 was back at the start of Feb.
Short Term Prediction of ETH/USD
If the price of ETH keeps declining, the next support level will come at $1315, and if it starts getting an upward trend, then its first resistance level would be at $1465.
ETH has been struggling to keep up with BTC, same as USD, and the crucial level of support is at 0.03 Bitcoin. If the ETH starts going up, then the first level of resistance is at 0.034 BTC.