Ether suffered a price decline selling as low as $440 against the USD. This opened a declining channel near the resistance at $480 on the hourly chart. Currently, the pair is correcting higher heading towards $490 and $500 resistance levels. The decline wasn't just against the USD. Ether also declined against Bitcoin and it is facing more challenges now.
Ethereum Price Analysis
Ether took a downside move below $500 yesterday and the price even went lower forming support levels at $480 $460, and, $450. The price formed a low at the $446 level before buyers temporarily came to the rescue. The price is slowly correcting higher and has gone above $460. It broke the 23.6% fib level of the last slope from $545 to $446.
Unfortunately, the price is still facing upside challenges around $490, and, $500. The charts indicate that there is a declining channel with resistance around $480. The next hurdle above the channel resistance is around $496 representing the 50% fib level from the $545 to $496 decline. The buyers need to break above $496 to regain control of the market and push the price past the $500 level.
The charts indicate that even if the price corrects above $480 short-term, it may face resistance around the $490-$495 zone. The support levels on the downside are $465, and, $460.
Technical Analysis for Ether
The relative strength index for rather is moving higher and is near the 40 level while the hourly MACD is recovering slowly into the bullish territory. Traders should look out for the support level at $460 and the resistance level at $495.
The next few days of trading will determine if the price action will change for the better or if the price will continue to suffer dips. It's important to note that Ether isn't the only major coin suffering significant losses. Other major players in the industry are also suffering losses. There are many possible reasons for the price crash with the most recent being the Coinrail hack.
Posted from my blog with SteemPress : https://smartereum.com/18714/ethereum-price-analysis-the-challenge-continues-for-ether-eth-against-the-usd/