BeInCrypto | Jul 19, 2019 07:30AM ET
On July 15, 2019, the Ethereum price reached a high of $234,33. A decrease ensued. On July 17 and 18, the ETH price made a double bottom near $192, before beginning to increase.
How long will Ethereum continue to increase? Below, we are going to analyze the Ethereum price in different time-frames alongside technical indicators in order to answer this question.
h3 Ethereum Price: Trends and Highlights for July 19/h3Since reaching a high on July 14, the Ethereum price has been following a descending resistance line.
On July 18, it broke out above this line. The breakout transpired with slightly-above-average volume.
In these cases, it is customary for the price to fall back towards the resistance line before possibly resuming its upward movement.
Let’s see how likely that is.
h3 Retracement Levels/h3A look at the daily time-frame shows that the ETH price is trading at a very important resistance area.
This resistance area is found near $230. It previously acted as support throughout May and June, before the Ethereum price broke down from it on July 13.
Furthermore, it coincides with the 0.382 fib area of the entire drop from around $230.
A look at the moving averages (MA) gives a similarly bearish outlook.
A bearish cross has already transpired between the 10- and 20-day MAs.
Additionally, the 10- and 100-day MAs are very close to making one. They are providing close resistance to the price and coincide with the previously mentioned resistance area.
While the RSI is at an oversold level, there is no divergence developing.
Therefore, we do not believe ETH will be successful in breaking out above the resistance area.
h3 Support/h3Since reaching a low of $105 in February, the ETH price has been following an ascending support line.
The Ethereum price touched this line for the fourth time on July 13.
Continuing the analysis from the previous section, it is likely that the price will eventually break down from this support.
If it does, the next significant support area will be found near $160.
While the decrease may not be immediate, we believe that the price will eventually reach this area.
h3 Summary /h3The Ethereum price recently broke out from a short-term resistance line.
According to our analysis, the increase will be short-lived.
Ethereum is likely to break down from its current support and reach the support area outlined above.
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.