Ethereum Plunges 5%, Will $1.8K Support Hold? (ETH Price Analysis)

• Ethereum’s price has recently arrived at the crucial support level of the 50-day moving average.
• ETH is confined within a narrow dynamic range between the 50-day moving average and significant resistance region of $2K.
• If the price manages to surpass the resistance of $2K and its prior swing at $2.1K, it could potentially trigger an extended rally.

Ethereum Price Analysis

After experiencing a phase of consolidation and correction, Ethereum’s price has recently arrived at the crucial support level of the 50-day moving average.

Technical Analysis

Analyzing the daily chart, the price previously formed a higher-high pattern before experiencing a significant decline. The 50-day moving average acted as a support level at $1.8K, leading to substantial volatility in lower timeframes and a significant shadow in the daily chart.

At present, ETH is confined within a narrow dynamic range between the 50-day moving average, which is currently at $1847, and the significant resistance region of $2K. If the price manages to surpass the resistance of $2K and its prior swing at $2.1K, it could potentially trigger an extended rally. Conversely, if it falls below the 50-day MA,the 100-day moving average at $1.7K will become primary support.

4 Hour Chart Analysis

Analyzing 4 hour chart shows that after reaching upper trendline threshold of ascending channel ,price experienced downward trend toward mid trendline .Despite enormous volatility after touching trendline , buying pressure remains evident.

Outlook

If prices fails to break above resistence levelof$ 2k or fall below 50 day MA then 100 day MA at 1 .7k becomes primary suport .Break above resistence can lead to extended rally .

Conclusion

At present ETH is trading withn narrow range between resistence level and support respectively .Break above or fall below this range can give direction for further movemnet in ethereum prices .