Chart by TradingView
Key Support levels: $2,805, $2,200
Key Resistance levels: $3,000, $3,400
ETH failed to sustain the rally and broke the uptrend, with prices now falling to the key resistance at $2,800. Bulls have the last chance to defend there. If they fail, then the next key support is found at $2,200. The $3,000 level has turned into resistance and buyers seem unlikely to have the momentum to push the cryptocurrency back above it.
Trading Volume: The volume has disappeared, and the action showed it. There was no buying pressure to sustain the rally, and the price quickly turned around.
RSI: The daily RSI is hovering around 47 points and does not show any strong trend at this time. Market participants are waiting to see if the $2,800 support will stop the current correction.
MACD: Despite a bullish MACD, the histogram and moving averages are quickly approaching a possible bearish cross. If that takes place, it will be hard to see ETH rally again soon.
The current bias for ETH is neutral. The cryptocurrency lost momentum, and it is up to the buyers to defend the key support at $2,800. Failure here and ETH would turn bearish.
If the key support holds, then ETH may attempt another rally above $3,000. However, for that to happen, the price has to stop declining and consolidate above the level. The next few days will be decisive for ETH.
