September 3, 2020 / Analytics

Ethereum Price Analysis: ETH/USD Will Drop To $407

eth forecast

Ethereum (ETH) cryptocurrency rate is correcting after a powerful pump. If buyers fail to defend the support zone around $ 430, ETH/USD will drop in price to $ 407 by September 10.

Key Points

  • ETH is consolidating around $ 436 after a dump to $ 420.
  • A bearish trend line has formed with resistance at $ 440 on the hourly chart.
  • There is a strong resistance barrier at $ 465.

Ethereum rate increased by 14% on September 1. Buyers broke through the resistance barriers at $ 460 and $ 480 during the bull run. The asset price reached $ 490 (Bitstamp data) – the maximum indicator in two years. However, on Wednesday, ETH began to dump. At first, ETH “stumbled” by 9%, then dropped in price by another 2% and bottomed out at $ 420. The upward correction after the massive dump fizzled out around $ 450, so the bears again seized the initiative and merged the coin’s value to $ 433.

ethusd

But the dynamics of changes in the Ethereum rate did not go beyond the upward trend line that arose in July. Judging by the graph, the value of the cryptocurrency could drop to $ 407 without affecting the overall trend. Most likely, ETH will be dumped to this level, after which a new bull run will inevitably start.

Ethereum Price Will Rise To $ 500

On September 2, technical indicators indicated that ETH was overbought. In particular, the RSI exceeded the standard indicator (70) by one point before the dump. The TD Sequential indicator for the week indicates that the correction after the pump has not yet been completed. Given the historical data, the price of the coin may decline to the nearest powerful support zone of $ 390. If sellers overcome this barrier, the coin will be in free fall up to $ 300.

eth chart

However, a reversal in the market is unlikely. Ethereum is poised to fly to $ 500, not the moon, but also high. During the last pump (from 28 August), the value of the asset increased by 32%. Therefore, if ETH is merged to $ 400, then as a result of the next spurt, the value of the coin may well reach $ 528.

Technical indicators:

  •  4 hours MACD is in the bearish trend zone.
  •  4 hours RSI is above 40 (in the neutral zone).
  • Major Support Level – $ 430.
  • Major Resistance Level – $ 465
  • The nearest pivot points are $ 409 and $ 470.
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

/ Похожие записи