Ethereum Is Vulnerable Below $310 Support: Here’s Why
Sep 07, 2020 at 11:16 //
News
Ethereum has continued to fall despite price upward correction. On September 5, Ether fell to the low of $310 and the price corrected upward.
This has been the market condition since Ether declined from the $480 resistance. From inception, Ether price has been making a series of lower highs and lower lows. Each time price corrects upward, the market makes a lower high. The biggest altcoin will resume a downward move after price makes lower highs.
The coin is falling after testing a lower high of $355. It indicates that the selling pressure will continue. Nevertheless, if buyers have sustained the bullish momentum above $355 high, the downtrend would have been invalidated. On the downside, once the support at $310 is breached, Ether will drop to $258 low. On the upside, if price rebounds above $310 low. It will signal the resumption of the uptrend.
Ethereum Indicator Analysis
ETH is also below the 20% range of the daily stochastic. The coin has fallen into the oversold region of the market. Buyers may likely emerge in the oversold region to push prices upward. ETH will continue to fall as long as the price is below the EMAs.
Key Resistance Zones: $220, $240, $260
Key Support Zones: $160, $140, $120
What Is the Next Direction for Ethereum?
The crypto has fallen to the $310 support and corrected upward. The downward movement is possible if the current support is broken. On the September 5 downtrend; the retraced candle body tested the 78.6% Fibonacci retracement level. The implication is that the market will fall to the 1.272 Fibonacci extension level or $258 low. Later, the price will reverse and return to the 78.6% retracement level.
Disclaimer. This analysis and forecast are the personal opinions of the author and 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.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @coinidol.com By Coin Idol, @Khareem Sudlow