Ethereum continues to slide, will the $1,100 support line break?

Ethereum continues to be bearish as the coin has now found support at $1,100. In the past two days, the coin surged and hit the $1,200 mark, but it saw a pullback on the charts shortly thereafter. Strong resistance for Ethereum is currently at $1,300.

The technical outlook for the coin also remains bearish. In the past 24 hours, ETH lost 9% of its value and nullified most of the gains made over the past week. The coin has slipped after the bulls were unable to surpass the $1,300 price cap.

ETH depicts a composite price range, with assets between $1,280 and $1,110, respectively. If Ethereum does not rise and break above $1,300, the price could fall and break below the $1,000 mark. As the coin’s price keeps falling on the charts, so does the purchasing power.Global cryptocurrency market cap today is $937 billion, down by 5.5% within the past 24 hours.

Ethereum Price Analysis: One Day Chart

Ethereum is at $1,111 on the one-day chart | Source: ETHUSD on TradingView

At the time of writing, ETH is trading at $1,111. The coin has immediate support at $1,000, but if ETH starts to drop, the coin can trade at the $900 price level. Immediate overhead resistance lies at $1,200 and then at $1,300.

The last time altcoins hovered in this price zone was in January 2021. If Ethereum falls to $900, it will mark a new low for the coin in 2022. If the price of the altcoin manages to jump to $1,300 and trade above that level for an extended period, a rally to $1,700 is possible.

Ethereum trading volume is down on the 24-hour chart, which means less purchasing power. The volume bar is red, indicating bearishness.

technical analysis

Ethereum
Ethereum Shows Declining Buying Pressure on One-Day Chart | Source: ETHUSD on TradingView

ETH was oversold in the past 48 hours, but the coin recovered and moved above the oversold zone. Despite this recovery, Ethereum buying pressure remains very low on the charts. The RSI is down and is approaching the oversold mark again.

Continued decline in demand could see ETH hit the $900 level in the coming sessions. On the 20-SMA, the coin is below the 20-SMA line. A reading below the 20 SMA line means that sellers are driving price momentum in the market.

Related reading | Why Ethereum can trade at $500 if these conditions are met

Ethereum
Ethereum flashes a buy signal on the one-day chart | DayNews resource: ETHUSD on TradingView

While the coin flashed a buy signal on the one-day chart, ETH noticed a drop in purchasing power. The moving average convergence divergence describes price momentum. It shows a bullish cross and flashes a green signal bar, which is a buy signal for the coin.

The current price level could turn into a demand zone for the king altcoin. Chaikin Money Flow shows capital inflows and outflows on a chart. The CMF is below the half line, which means that capital inflows are less than capital outflows, indicating bearishness.

Recommended reading | Ethereum needs to break above this level to maintain bullish pace

Featured image UnSplash, chart from TradingView.com

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