Search ForexCrunch
  • Cryptocurrencies fall as USD strength kicks in
  • Indicators turn bearish on the 4-hour chart
  • ETH/USD looks to be heading back to the 200.00 psychological support

The likes of BTC, ETH and XRP have all fallen in tandem after news of a  tariff delay on China  was announced.

The chart below shows a 4-hour chart of ETH/USD falling 1.49% from 208.35 to 205.94 after the measures were announced. Cryptocurrencies have been threatening a move lower all day after  Bitcoin flirted with the 11,120.00  area all morning. Maybe now traders have the catalyst for a break to lower support zones.  

 

ETH USD chart 4 hour

Looking at the chart now, you can see that the RSI indicator broke the 50 mid-line and hangs around the 35 point, while, still sloping in a downward fashion. The MACD is also setting up for a bearish crossover with the histogram hugging the mid-line and the moving averages converging to cross over. From a candlestick perspective, purists will be upset that the hammer rejection candle before this one was not successful but that is the nature of trading one must look for a confluence of signals for confirmation.