Ethereum Might Be In for a Rough Few Months – ETH Analyst
Ethereum’s $2k is Still the Level to Watch
With respect to price action, Ethereum continues exhibiting weakness after being rejected at the $2,890 price area on Monday this past week. This price area coincides with the $2,800 resistance level and the 50-day moving average (white) as highlighted in the following chart.
Also from the chart, it can be observed that the $2k support is Ethereum’s next line of defense after the 100-day moving average (yellow) caved in due to selling pressure at the $2,400 price area. Ethreum is currently trading at $2,360 with the weekly close only hours away.
If Ethereum can maintain a value above $2k, it could possibly open the doors to a brief recovery back above $2,500. However, the daily MACD, MFI and trade volume, point towards a continual level of selling by Ethereum traders that could lead to more losses ahead.
In the event Etheruem’s $2k support is lost, ETH will have to rely on the 200-day moving average at the $1,800 price area, as its last hope in maintaining a bullish narrative into the summer.
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