Ethereum (ETH) Price Could Suffer Further Losses – Is This A Buy Signal?

After the recent reports that Amazon has announced an initiative in relation to Ethereum, the $180 short term target was broken. With the multiple announcements of positive news from all sides, the price of Ethereum can possibly touch $200 before year end. Ethereum remains the second largest digital currency by market cap.

On top of that, Ethereum’s Blockchain is also the most used platform regarding developing smart contracts and decentralized applications. With these recent developments, a large number of firms in the Blockchain sector are expected to adopt the Ethereum protocol and enter partnerships with the network.

Ethereum (ETH) Price Today – ETH / USD

Name Price24H (%)
Ethereum (ETH)
$232.22
12.30%

Considering the price of Ethereum against the USD, it is safe to say this is a good time to invest in the coin because a bullish run is due in the coming weeks. But how has the price of Ethereum faired against the price of BTC?

Ethereum Price Prediction: The Price of Ethereum Didn’t Clear 0.0305 BTC

Ethereum price failed to clear the 0.0305 resistance area and declined further against bitcoin. ETH to BTC is currently under pressure and it could even break the 0.0275BTC support level.

In the last few days, the leading digital asset’s performance has been a revelation. We can see that there were many sharp gains in the price of Bitcoin, including swing moves in the price of Litecoin, and the price of Ethereum. While the price of EOS, Bitcoin Cash, and XRP also saw swings against the USD. However, ETH remained on a downside move against BTC and extended losses after failing to overcome 0.0305 BTC which is a resistance point.

Ethereum Price Prediction: Declined Below 0.0305 BTC

Looking at the chart of the ETH/BTC pair we can see that the price of Ethereum topped near 0.0314 BTC and yet it declined heavily below 0.0305 BTC and 0.0300 BTC. There was a close below 0.0295 BTC and 100 SMA.

The price of Ethereum is now trading below the 0.0290 BTC price position and the 76.4% Fibonacci retracement level via the last drop from 0.0278 BTC to 0.0314 BTC.

The immediate support area via the chart is near the last swing low around the 0.0278 BTC position. If the price of Ethereum sees more losses, then it could clear the 0.0275 BTC position which is support in the near term. Another significant support position could be at 0.0250 BTC or the 1.236 Fibonacci extension level via the last drop from 0.0278 BTC to 0.0314 BTC.

Ethereum Price Prediction: 0.0292 BTC Was the Closest Resistance for the Price of Ethereum

Looking at the upside, we can see an initial resistance point near the 0.0292BTC area, above where the price of Ethereum may test the 0.0296BTC area and the 100 hour SMA.

Apart from this, there’s a significant bearish pattern formed with resistance positions at 0.0298 BTC via the 4 hour chart of the pair. Hence, once there’s a clear break above the 0.0300 BTC trend line which is a resistance position then there can be an upside acceleration for the price of Ethereum.

Overall, the price of Ethereum is under a significant amount of pressure against the price of bitcoin. It sits below 0.0300 BTC but could gain some traction above the $175 against the USD in coming trade sessions.

 

Brian Lubin is a Crypto News Reporter for Smartereum. He's well-known for his reports on the crypto markets.

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