The price of Ethereum (ETH) is trading lower on Tuesday after testing above $3,200 in the past two weeks. Investors remain reluctant to place new aggressive bids around current levels.
Ethereum pauses earnings on Tuesday after extending earnings for consecutive five sessions. A decisive break above $3,200 could open up more buying opportunities in the pair. The price is comfortably above the $50 DMA.
Ether, the original coin of Ethereum, is the second largest cryptocurrency with the current market cap of $364,725,828,783.
Ethereum May Retreat Towards $2,800
On the daily chart, Ethereum price (ETH) has gained bullish momentum and managed to close above USD 3,200. Currently, ETH is hovering around the same level with no strong conviction to maintain upward momentum. The investors turned around near the support-turned-resistance zone. Volumes supported the price’s upward momentum.
Source: Trade View
However, the formation of the ‘Symmetrical triangle’ formation indicates indecision among investors. ETH would pull back toward the $2,800 horizontal support line if the triangle breaks at the bottom.
The current bias towards Ethereum is bearish in the near term. ETH is losing momentum as volume is also falling, supporting the current downward look for the pair.
The Daily Relative Strength Index (RSI) is trading at 54. But the momentum indicator pulled back from 57, indicating investors are receding interest in buying the pair.
In addition, ETH is already struggling below 50 DMA at $3,225.31, indicating challenges for the buyers. A decisive break below the USD 2,800 level could amplify selling pressures towards the USD 2,400 horizontal support line.
Alternatively, if the breakout happens on the upside, the first target could be found at the $3,600 horizontal resistance level. When ETH crossed the said level, sentiment would turn in favor of bulls and it could climb towards the psychological level of $4,012.
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This post Ethereum (ETH) Price Seems Exhausted Near $3,200, Is Upside Down!
was published first on https://coingape.com/markets/ehtereum-eth-price-looks-exhausted-near-3200-is-upside-over/
