The Ethereum price has been making corrections after the rally of the last few months. However, there are plenty of support levels that could hold the price down in the short term.
Technical analysis
By: Edris
the daily chart
Looking at the daily time frame, the price has been falling for a period of several weeks after failing to reach the $2,200 resistance level. The 50-day moving average is currently holding the market around the $1,900 level, with $1,800 also providing support.
Should the price bounce from this area, a quick rally towards the $2200 level could be expected. On the other hand, a break would result in a further correction towards the 200-day moving average, trending around the $1600 mark. The RSI continues to hover around the 50% threshold recently.
The 4 hour chart
On the 4-hour chart, the price seems to be trying to break out of the range between the $1800 and $1900 levels. The $1,900 resistance is currently being tested once again, and a bullish breakout would pave the way for a rally towards values above $2,000.
However, another rejection could start a move lower towards the $1800 support level and potentially even lower. The RSI indicator is trending above the 50% mark in this time frame, indicating that the bulls are in control and a bullish breakout is more likely.
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