Ethereum Price May Plunge In Coming Days If ETH Fails Test At This Critical Support
Ethereum struggled below the resistance at $200 for a few days about a week ago and eventually overcame the hurdle. Settling down at $202 for a couple of days, it was evident that the ETH/USD pair was headed for a short term bull run which would send the price to its previous swing high at $220.
However, the climb towards $220 was never easy. The cryptocurrency met with resistance at the $205 and $208 levels. Having successfully scaled through those heights, prices climbed rapidly further and found support at $210.
Rebounding from the support level built at $210, Ethereum made a fresh commitment to the bulls. Staging a run towards $220 amid an 8% 24-hour price gain.
At the time of writing this piece (May 19, 08:12 hours UTC), ethereum is trading at $212 with over -2% price change over the last hour.
Currently trading at $212, ethereum maintains a market capitalization of $23.91 billion and about $17.74 billion traded in volume over the last 24 hours.
Also, read Vitalik Opens up about Ethereum Network since 2017, What does 2020 have?
ETH/USD Technical Analysis
The technical picture paints a short to medium-term bearish scenario. ETH/USD found major support at $176.56 when it initially crashed to the 1.0 (100%) Fibonacci retracement level.
Recovering a little at a time, the pair blasted through the resistance at the $187.47 (0.78 Fibo level) to set ahead of $200.
Prices broke the resistance at $215 (0.23 Fibo level) and are now looking to test higher heights. Above this level, major resistance lies at the $227 (0.0 Fibo retracement level) where Ethereum has had difficulties in previous months.
