The value of the crypto market tumbled today as we saw a massive sell-off in price across the board. The ETH price led the Altcoin dump, crashing as low as 5% in a matter of hours.
This bearish sell-off was highly anticipated, as we published various analyses warning our readers of the Ascending channel key resistance the Ethereum price was testing earlier Warning: The ETH Sell-off Might Not Be Over! Watch This Pattern.
In this Ethereum analysis, we will be talking about the bearish targets we are watching as well as the key levels we believe must hold for this bearish prediction to remain valid.
To trade ETH with leverage, sign-up to Bybit right now! You can also get up to $600 in deposit bonus when you sign-up and fund your Bybit account with our Bybit link.
Claim up to $30,030 in Bonus
Is The ETH Sell-off Over?
The key resistance we are still keeping our eyes on is this ascending channel pattern in the 4-hour timeframe. We have seen this level push prices back before and it might continue to do so for the foreseeable future.
As far as the Ethereum price continues to trade below this key level in the 4-hour timeframe, our bearish bias on the Altcoin remains valid. This makes this level the critical turning point for the Ethereum trend.
ETH Trading At Key Support
Right now, Ethereum is trading at the $2,887 horizontal key level in the 4-hour timeframe. This level has served as both support and resistance on numerous occasions in the past and is doing so again now.
However, this $2,887 support is looking weak as we have seen multiple instances where the ETH price broke and closed below it.
This simply means that there is a very high probability that we might see Ethereum break through this $2,887 horizontal support and continue to heading lower in the coming days.
We are still bearish on ETH and believe the Altcoin still has the potential to trend even lower in the coming days. But for this bearish bias to remain valid, the Ethereum price must continue to trade below the ascending channel key resistance level in the 4-hour timeframe.
A price break of this key resistance puts an end to this sell-off we are currently witnessing and points to a potential price reversaL
Claim up to $30,030 in Bonus
Easy Steps From Beginner To Pro Crypto Trader
You can speed up your learning journey by reading our How To Trade Bitcoin Guide. This guide is the best for crypto traders who wants to get familiar with the basics of Bitcoin trading. You can also check out our top list of Best Bitcoin Exchanges To Trade With.
PrimeXBT Covesting: Trade Hassel Free
Sign-up on PrimeXBT today to trade Bitcoin hassle-free. You can copy experienced traders and access hundreds of different strategies on the platform! Don’t forget to claim your 25% bonus by using the promo code “bitcoinsensus50” when you sign-up with our link PrimeXBT Covesting