After a consecutive 13 green candles on the Ethereum daily chart, the huge red candle could manifest a correction
On the other hand, Bitcoin price slides below $40,000 yet again failing to break the resistance area
The bears appear to have regained control over the market as plenty of assets shed their gains
Ethereum price currently is experiencing a notable drain with a more than 4% plunge and a similar trend is seen with Bitcoin price. After a significant uptrend for a couple of days, both the assets appear to have fallen into a bearish trap. And hence a significant move is the need of the hour in order to maintain an uptrend. Else BTC price and ETH price could bottom hard to barely expected levels.
Ethereum Price Should Sustain Above $2400
The ETH price after forming a diamond top, brokedown and plunged below $2500 with the beginning of the fresh day trade. Moreover, the price had formed a huge ‘W-shaped’ pattern in the 4-hour chart but failed to break the neckline. Instead, the price broke down and continued to shed the gains. The continued downtrend could also attract lower levels close to $2300.
The price chart displays a death cross been executed as the 200-day and 50-day MA intersects each other resulting in the present-day plunge. However, the selling pressure appears to have eased as the trading volume is reduced. And hence a subsequent surge could be on the way very soon.
The price should break the downtrend and begin with a subsequent uptrend, else a revisit around $2000 could be imminent. A popular analyst, Micheal de van Poppe predicts the zones between $2325 and $2180 could be fast approaching if the price fails to sustain above $2540. However, the upcoming London hard fork’s successful launch could entirely flip the market.
Bitcoin Price At Important Levels
Bitcoin price suffered yet another rejection at $40,000 and slides below $39,000. The asset recorded a consecutive uptrend for more than 10 days and raised above $42,000. Woefully, many traders utilized the bitcoin pump as exit liquidity as nearly 2 billion profit was recorded according to Glassnode.
After multiple rejections, the price appears to have stuck in between $30,000 and $40,000 from the past couple of months. However, $36,000 appear to be the most crucial as these levels were both support and resistance at different points. The price is attempting hard to sustain above $39,000 and if the selling accelerates, $36,000 is the level to be maintained. Else the price could yet again end up hitting the lower support levels.
On the whole, the coming couple of days could be decisive for Bitcoin and Ethereum price as a flip from the bearish divergence could pave way for a substantial uptrend. Moreover, the much-awaited Ethereum network upgrade- EIP 1559 could impact the ETH price to a large extent. On the other hand, BTC price seems to have to gain huge bullish sentiments. And hence the upcoming week could witness a considerable uptrend for both assets.