ETH price drops to $ 382 amid heightened selling pressure

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ETH price drops to $ 382 amid heightened selling pressure

The ETH / USD pair climbed to a high of $ 421 last month and was up about 7.5% by the end of the month on October 31. However, contrary to expectations, the price was not traded higher. A slump in the past 24 hours devoured weekend gains as ETH price climbed to highs of $ 404.

Technical outlook for Ethereum

Rather than approaching the $ 400 barrier again, the action suggests that bears may try to cut prices. That outlook follows the ET / USD pair, which is moving down after rising to highs above $ 400 to hit lows of $ 382.

Ethereum's failure to hold above $ 400 is adding to downward pressure. In the short term, the correction could cause bears to push prices above the initial support zone near the $ 385 area.

The daily chart suggests that Ethereum price could fall below the 20-day SMA. This would mean the bulls will have to defend their gains near $ 380-350.

At the time of writing, the 4 hour chart shows that the Ethereum price is below the exponential moving averages of 20, 50 and 100.

The RSI indicator is also falling. This in turn suggests that bears are likely to take control if downward pressures persist.

If sellers are able to bring prices down, the 100 SMA and 50 SMA prices near $ 378.93 and $ 377.45, respectively, will provide support. The next level of support below said buy zones is in the 100-SMA area at USD 371.38.

In particular, the 5% drop in intraday trading could cause sellers to go hungry after retesting the area for $ 350. This is where bears must cross the 50% Fibonacci retracement level near the $ 365.21 area. The 100 EMA value in the daily chart near the important USD 350 area offers the necessary support.

What about the ETH reversal?

The mood ahead of the ETH 2.0 start is positive for Ethereum, which could help a bullish trend in the future.

If the bulls take control in the short term, the upward move would bring ETH / USD into the main resistance area around the 38.2% Fibonacci retracement level at USD 395. Above that level, bulls would have to break the barrier at the psychologically important $ 400 hurdle to pave the way to $ 415 and the 23.6% Fibonacci retracement level at $ 430.