Ethereum Pauses Its Decline above $2,000

Ethereum has continued to decline, but it halted above the $2,000 psychological price barrier on May 18.

Ethereum Price Long-Term Analysis: Bearish

The largest altcoin fell to a low of $2,077 before recovering. For the past 48 hours, the cryptocurrency price has fluctuated above the $2,000 support line while remaining below the moving average lines.

Today, the Ether price is rising and approaching the moving average lines. On the upside, if the price movement stalls below the moving average lines, Ether is likely to remain below them for a few days. But if buyers push the price above the moving average lines, the altcoin will retest its previous high of $2,500.

However, if the $2,000 key support is breached, Ether will fall to its previous low of above $1,800. Ether is currently at $2,128 at the time of writing.

Technical indicators:

• 
  Resistance Levels: $3,500 and $4,000

• 
  Support levels: $2,500 and $2,000

Ethereum Indicator Analysis

The ETH price has fallen below the horizontal moving average lines, indicating that the cryptocurrency may continue to decline. Ether price bars are below the downward-sloping moving average lines. The 21-day SMA is below the 50-day SMA, indicating a downtrend. The 21-day SMA acts as the resistance line for the price bars.

Ether’s price is likely to continue decreasing as it is repelled by the 21-day SMA barrier. The extended candlestick tails are pointing below the $2,100 support level, indicating strong buying pressure.

What Is the Next Direction for Ethereum?

Since May 17, the Ethereum price has halted its decline above the $2,100 support level on the 4-hour chart. The cryptocurrency is now trading within a narrow range, below the moving average lines but above the $2,100 support.

Today, the price has broken above the 21-day SMA barrier. Ether is likely to remain range-bound between the moving average lines. The altcoin will trend if either the 21-day SMA support or the 50-day SMA barrier is breached.

Disclaimer. This analysis and forecast are the personal opinions of the author. The data provided is collected by the author and is not sponsored by any company or token developer. This is not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coinidol.com. Readers should do their research before investing in funds.