Ethereum price failed to stay above the $203.00 support and declined sharply. ETH/USD traded as low as $195.15 and it is currently attempting a recovery.
- Ethereum price broke a major support near the $202.80 level.
- ETH/USD traded below a key bullish trend line with support at $204.50 on the 30-minute chart.
- The price is currently recovering, but upsides are likely to be capped by $200.45 or $201.71.
Ethereum Price Analysis
Buyers failed to push Ethereum price above the $205.80 resistance area, which resulted in a downside move. The price declined sharply and cleared a few key supports such as $204.00, $202.80 and $200.80.
Click to Enlarge Chart
Looking at the 30-minute chart of ETH/USD, the pair declined heavily below the $200.00 level and moved towards the $195.00 level. The price traded as low as $195.16 and later started a minor upside correction.
It recently moved above the 23.6% Fib retracement level of the downside move from the $205.76 high to $195.15 low. Moreover, the price climbed above a short term contracting triangle with resistance at $197.50 and the 25 simple moving average (30-min).
The current price action is positive above the $196.00 level, but upsides are likely to face a lot of sellers. An initial resistance is near the $200.00 level, above which the next barrier is the 50% Fib retracement level of the downside move from the $205.76 high to $195.15 low at $200.45.
If the price succeeds in climbing above the $200.45 level, it could visit the broken support (now resistance) at $202.80. An intermediate resistance is $201.71 and the 61.8% Fib retracement level of the downside move from the $205.76 high to $195.15 low.
Therefore, the price is likely to struggle near the $200.00, $200.45 and $201.71 levels in the near term. On the downside, ETH/USD may find support around the $197.00 level and the 25 simple moving average (30-min).
Below $197.00, there is a risk of more losses towards the $195.00 and $192.00 levels. The main support on the downside below $192.00 is at $186.00.
The market data is provided by TradingView, Bitfinex.
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