June 26th 2019 is the day that Ethereum attained high price for the entire year. Since then, the price has gone down by over 60%. At the moment, the crypto asset is trading close to a leading support area.
The Crushed Hopes
Ethereum recently updating its main network, Istanbul. Following that, a number of the users had high hopes concerning Ethereum 2.0. They expected it to drop as soon as possible. The sentiments by Ethereum developers, however, curbed this enthusiasm. They stated that the fork would take an extended period of time to create.
The developers are now more focused on integrating the current network. They are planning to launch the upgraded network as soon as possible.
ETH Still In A Descending Channel
Since the month of June 2019, the price of Ethereum has been on the low. And from July 2019, the price has also been trading inside a descending channel. At the moment, the coin is trading so close to the support area of $125 to $130. The next support area is expected to be around $100.
But there is one most interesting price movement for this crypto coin. It generates from the resistance price area of $160. Earlier on, the price of the coin broke below it. It then validated it as the main resistance on the 26th of November. From that time, the price has been on a downtrend move.
ETH Current Chart: Technical Indicators For The Crypto Coin
The current ETH support area appears a very likely place for starting a reverse. First, there is projection of the previous pattern’s height before breakdown. This will offer a target of $125. There is also a bullish divergence in both the MACD and the RSI. A final drop to validate the support line is the expected move. After that, there could be a movement in the side of the resistance.
The Logarithmic Curve
The whole ETH price history has been reviewed in a logarithmic form. From here, it is easier to draw a curved support line. This will act as the lower limit of price movement. Until now, the line has been validated close to five times. It is currently right below the main price.
There are also certain things that might happen if this line is to hold. It will show that ETH price will soon hit a bottom close to $125, before starting an upward move. It is in full agreement of the technical indicators’ readings. The daily price outlook for the coin also offers some insights.
Strong Reversal Signs For The Coin
The price of this coin is close to hitting a bottom. It has also indicated strong signs of reversal since then. A breakdown below the current declining channel might invalidate the hypothesis. If that happens, then the price might move towards $100.