Ethereum Price Analysis: ETH Is Losing Ground To BTC

Ethereum cryptocurrency rate has corrected after a sharp rise to $ 620. However, the dynamics of the change in the value of the asset did not go beyond the upward trend, so the coin should rise in price to $ 600 by December 3.

Key Points

• The bulls were unable to break through the resistance barrier at $ 625, after which the price of the coin fell.
• The bears broke through strong support zones around $ 600 and $ 550.
• On the hourly chart, a downtrend line has formed with a resistance zone of $ 530.

Buyers made two unsuccessful attempts this week to break the $ 625 barrier. As a result, on the night of November 25-26, the ETH rate fell by 15% (Bitstamp data). Traders began to buy ETH at the level of $ 500, so the value of the asset rose to $ 527. Note, that is still below the 100 hours moving average ($ 553).

There is a contracting triangle with resistance at $ 530 and support at $ 520 on the chart. The lines of the pattern will cross on Thursday, as a result of which an upward or downward breakout is expected today.

The upward movement will meet resistance at the $ 535 level, which coincides with the 38.2% Fib recorded during the dump from $ 590 to $ 500. The nearest support barrier is located at $ 522. The bullish trend line, which started in early November, now runs at $ 497 and acts as a key support barrier. If the ETH rate does not fall below this level, then the value of the coin will begin to grow and reach $ 600 within the next week.

ETH Is Losing Ground To BTC

Ethereum and some other altcoins significantly outpaced Bitcoin (BTC) in terms of value growth from November 20 to 24. As a result, the dominance of BTC in the cryptocurrency market decreased from 67% to 61%. Nevertheless, the downward trend in the share of Bitcoin quickly ended, and the coin won back part of the capitalization from its rivals: from November 24 to 26, the BTC.D index rose by 5%.

Traders actively sold altcoins and invested the money received in BTC, expecting further growth in the asset’s rate. On Wednesday, Bitcoin rose in price to $ 19,500 but did not stay at this level and fell in price to $ 17,200. In the medium term, BTC should add in price and reach a new record. In this case, a bull run will begin on the altcoin market, as a result of which the Ethereum rate may jump to $ 800.

Technical indicators:

• 4 hours MACD indicator is in the bearish trend zone.
• 4 hours RSI is above 30 (in the neutral zone).
• Major Support Level – $ 500.
• Major Resistance Level – $ 600.
• The nearest pivot points are $ 477 and $ 581.

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