The price of Ethereum has broken a major resistance level at $200 following a period of massive sell-off of bitcoin on the 21st of May. At the moment, Eth is trading at $208.42 as the cryptocurrency struggles to gain momentum upwards again.
Currently trading at $208 as of May 23rd, 06:20 hours UTC, Ethereum has lost more than 3% amid a major Bitcoin (BTC) sell-off which caused the general crypto markets to plunge greatly within a few hours.
At the moment, however, prices look stable around $210 as technicals paint a horizontal neutral pattern which suggests consolidation within a few more days.
ETH/USD Technical Analysis
ETH/USD looks contained in a ranging market according to the 1-day timeframe. This is the aftermath of the sell-off which sent the Resistance Strength Indicator (RSI) crashing below the midpoint of the overbought condition at 50.0.
Prices dropped as low as $179.6 but the bulls charged in again to push them upwards- A situation that resulted in prices breaking the major resistance at $190 and $200 marks respectively.
The RSI indicator first hit the 50.0 level during the price crash on May 10, 00:00 hours UTC but the bears proved stronger and it went below it all the way down to the 46.0 area, indicating a shift towards a bullish bias in the higher timeframe.
The plunge beneath $200 has now whirled Ethereum to the uptrend bias. Eth/USD would have to soar above $220 to bend bullish again. A closing candle beneath $180 would likely turn Ethereum bearish in the short term.
If the sellers do drag prices lower, the first area of support lies at $180 of the 100-days Exponential Moving Average (EMA). Below this, support lies at $175 (.382 Fib Retracement), $159 (.5 Fib Retracement), and $150.
On the other hand, if the bulls resurrect and push higher, resistance lies at $190, $200, and $210. Above this added resistance is found at $218 (bearish .786 Fib Retracement), $225, $230, and $235 (bearish .886 Fib Retracement).