• Ethereum’s price has recently been declining after being rejected from a significant resistance level.
• Technical analysis of the daily and 4-hour charts for ETH reveals that the next support level is at $1400 (200-day MA) and the current consolidation zone is between $1680 and $1500.
• If the 200-day MA support is broken, ETH could potentially drop to $1300 in the short term.
The price of Ethereum has been declining in recent days after being rejected from a significant zone of resistance a couple of weeks ago. Therefore, it would be useful to analyze the available support levels that could potentially halt the downturn.
Daily Chart Analysis
On the daily chart, the price has broken below the 50-day moving average, which is located around the $1600 mark. This took place after a rejection from the key $1800 level and higher boundary of large symmetrical triangle pattern. Currently, market seems to be targeting 200-day moving average which is located around $1400 price level. If this significant moving average is broken then price likely to drop toward $1300 in short term whereas if rebound from mentioned 200-day MA then 50-day MA would now function as resistance followed by higher boundary of triangle.
4 Hour Chart Analysis
Looking at 4 hour chart its clear that price of ETH has been consolidating between 1680$ level and 1500$ area with 1500$ acting as potential support soon to be tested where further future action will depend on how it performs there with potential rebound rally towards 1680$.
If 200 day MA support holds then potential rebound rally towards 1680$ however if it breaks then ETH could potentially drop to 1300$ in short term while if rebounds from mentioned 200 day MA then 50 day MA would now act as resistance followed by higher boundary of triangle .
Ethereum’s current decline may not yet have reached its bottom but analyzing available support levels can help us predict potential outcomes for its future performance.