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  • Ethereum price defends key channel support after losses extended below $200.
  • Technical indicators gang up strongly against the buyers as ETH/USD risks drop to $190 and $180 respectively.

Ethereum price has for the first time since February 5, plunged underneath the critical $200 level. The losses have hovered over the crypto market since the weekend session. A minor recovery in the Asian session on Monday failed to see the light of the day as sellers put their feet on the ground to declare war against the buyers. ETH/USD is trading at $199 at the time of writing after losing 0.31% of its value on the day and 13.76% in the last 24 hours.

In spite of the losses posted in the last 24 hours, Ethereum bulls refuse to be intimated. This is mainly because the losses are contained above key descending channel support. However, it goes without saying that the bulls are deeply wounded. ETH/USD can barely hold above $200, although a minor recovery has taken place from $196.57 (intraday low). If the channel support is defended, by all means, prospects for recovery above $210 could be high.

Meanwhile, the drab technical picture suggests that sellers will remain in control a while longer. The RSI has dipped into the oversold. Selling pressure is emphasized by the downward slopping momentum indicator. At the same time, the MACD’s bearish divergence signals that the path of least resistance is downwards. If no progress is made above $200, ETH/USD could dive farther down to test $190 and $180 support levels respectively.

ETH/USD 4-hour chart