- The cryptocurrency market outs stability, Dumps $5 billion.
- Ethereum trims one-week gains while stuck within a resistance range.
The stability in the cryptocurrency market over the last one week has been ousted following yesterday’s selloff. Cryptocurrencies corrected lower with most dropping below key support levels. Besides, the market capitalization dumped more than $5 billion. Assets are currently attempting to reverse the trend but the market is still painted red.
Ethereum, on the other hand, was not spared by the selling pressure. It reversed the bullish momentum which was making headway above $125. Besides, Ethereum has been range-bound for more than two weeks with the upside limit at $130 and a lower limit at the vital support at $115.
Towards the end of last week, Ethereum retraced above both the 1-hour 50-day Simple Moving Average (SMA) and the 100-day SMA. While heading towards the key resistance at $130, it formed a high at $128.45 before the bears took charge sending the crypto below the rising trendline with support at $12.59. The declines were unstoppable at $120 and tested $115 before a bounced occurred.
Ethereum is trading at $117.80 while an ongoing bullish trend is likely to pull the price towards $120. The bulls have their eyes locked on $125 but the key resistance at $130 will pave the way for further recoil heading to $140 (broken support). The Relative Strength Index (RSI) on the same chart has retreated from the oversold and is in an upward trajectory to confirm the growing bullish pressure. However, the Moving Average Divergence Convergence (MACD) is still horizontal at -1.22 to show that bears still have influence over the price.
ETH/USD 60-minutes chart