Ethereum price analysis: ETH/USD sliding towards $110.00

• ETH/USD stays in a range, $110.00 support within reach.
• The upside looks unlikely from the short-term perspective.

Ethereum is changing hands marginally above $112.00, losing nearly 4% since this time on Sunday. Ethereum, now the third largest coin with a market value of $11B and an average daily trading volume about $1.8B, is trading within a range limited by $110 on the downside and $120 on the upside.

ETH closed the 7th consecutive month in the red zone, losing over 43% on a monthly basis. The coin tested water below critical $100 on a couple of occasions in November; however, the breakthrough proved to be unsustainable so far.

Ethereum’s technical picture

ETH/USD needs to return to the area above $120 to mitigate the bearish pressure, but this ultimate target is out of reach as long as the coin stays under $114.00 resistance followed by SMA200 (1-hour). Also, a strong barrier is spotted at $116.70 with a confluence of SMA100 and SMA50 (1-hour) making it a hard nut to crack for short-term Ethereum bulls.

On the downside, the first support comes with $110.00, which is the lowest level of the recent channel. It is followed by November 27 low at $100.89 and critical $100.  

The Relative Strength Index stays close to the oversold territory and points downward, which implies that more sell-off is likely within the short-term timeframe.

ETH/USD, 1-hour chart