- Ethereum price bulls fail to contain the losses above $230, resulting in a drop to $228.
- The Prevailing losses are likely to culminate in a surge above $250 on a falling wedge pattern breakout.
Ethereum price is falling victim to the stubborn selling activity on Tuesday during the Asian session. Following an opening value of $232.17, the price advanced upwards to $232.34. However, selling action forced ETH/USD painfully under the critical level at $230. An intraday low has formed at $228.10 but Ethereum price has corrected to $228.60 (market value). The second-largest cryptocurrency with a market capitalization of $25.15 billion has lost approximately 1.5% of its value on the day.
Ethereum price analysis
Interestingly, applied technical indicators show that Ethereum is largely in the hands of the bulls. This means that Ethereum buyers are present but lack the power to sustain an uptrend. For example, the RSI is holding above the average and follows a high low pattern after recovering from last week’s dip to 23 (oversold region).
The MACD in the same 4-hour range, is pacing toward the mean line. The indicator had succumbed to the selling activity experienced last week when ETH/USD tested $210 support. It also features a bullish divergence, hinting a stronger bullish grip. At the same time, the momentum indicator is in the positive territory but the downward direction suggests that sellers are attempting a hostile takeover.
Ethereum price silver lining
Meanwhile, the formation of a falling wedge pattern shows that the losses being experienced now could culminate in a breakout above $250 heading to $300. Resistance is expected at $230, $240 and $250 (100 SMA).
ETH/USD 4-hour chart
-637187996647279509.png)
Share
