ETH price extends the previous week’s losses falling below the $2,900 level. The recent price action shows the presence of the downside momentum as it breaks below another vital support level on the daily chart. A decisive breakout will signal another round of selling in the asset.
- ETH price trades lower as the fresh trading week begins.
- Investors continue to liquidate the positions since April 4.
- More downside is expected at the ETH price as it tested one-month lows at nearly $2,880.
As of press time, ETH/USD is exchanging hands at $2,913, down 2.50% for the day.
ETH price moves south
On the daily chart, the ETH price dropped 18% from the highs of $3,548.51 made on April 4. The price breaks below the psychological $3,000 level, a crucial level to hold for the buyers. But the bulls lack the conviction to hold the level.
ETH price breaks the bullish trend line that extends from the lows of $2,445.00. The trend line acted as a support for the bulls, the price surged 35% to the swing highs of $3,548.1 but retraced quickly again to retest the bullish slopping line.
Now, the price is trading below the crucial support level promising more downside around the corner. If ETH price breaks below the session’s low it would trigger a fresh round of selling with the first downside target at the lows of March 22 at $2,887.79.
An extended sell-off would drag the price to revisit the $2,600 horizontal support level.
On the flip side, a bounce-back above the bullish slop line will keep an eye on the highs of April 11 at $3,214.88.
The second-largest cryptocurrency holds the 24-hour trading volume at $15,042,892,023 with gains of 74%.
Technical indicators:
MACD: The moving average convergence divergence oscillates below the midline with increasing bearish momentum.
RSI: The daily relative strength index reads at 37 while trading below the average line.
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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Source: https://coingape.com/markets/ethereum-price-prediction-eth-price-drops-below-2900-amid-selling-momentum/