About 48 hours ago, the bears broke the $225 support as selling pressure persisted. Since June 11, the market has been fluctuating between $225 and $240 to retest the $250 overhead resistance.
The $225 support has been broken as the market dropped to $217.50 low. Initially, the bulls corrected upward and retested $227 high. The market is on a downward move after a retest at $227 resistance.
Ether is falling and approaching the low of $220. The coin will find support above $220 if the selling pressure continues. The support at $220 is the previous price level of May. In May, the price rebounded twice to reach the overhead resistance at $252. Nonetheless, if the bears break the $220 support, the market will revisit the critical support at $200.
Ethereum indicator analysis
Ether has fallen below the 25 % range of the daily stochastic. It indicates that the market is approaching the oversold region of the market. The implication is that when the coin reaches the oversold region, the market will resume an upward movement of prices. Meanwhile, the price bars are below the EMAs which indicate a further downward movement.
Key Resistance Zones: $220, $240, $260
Key Support Zones: $160, $140, $120
What is the next direction for Ethereum?
Following the breakdown at the $225 support and the subsequent retest at the $227 high, the downtrend is likely to continue. A downward move to $220 low is expected. Alternatively, the price will rebound and an upward movement is expected at the current support
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.