🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

ETH Could Face Huge Price Correction, Predicts Analyst

Published 21/08/2023, 13:32
ETH Could Face Huge Price Correction, Predicts Analyst
ETH/USD
-
ETH/USD
-

  • Analyst Ali Charts predicted that ETH could face a huge price correction soon.
  • ETH’s price rose by 0.49% over the past 24 hours, which left it trading at $1,671.61.
  • From a technical perspective, ETH’s price was in the process of challenging the $1,685 resistance.

The leading altcoin, Ethereum (ETH), could be facing a massive price correction soon, according to a Twitter post shared by cryptocurrency analyst, Ali Charts. In the post, he predicted that if ETH’s price dips beneath the $1,600-$1,550 bracket, it could lead to a 37%-45% correction that may cause ETH’s price to drop to $1,000.

In the short-term, ETH was still safe from the steep correction as its price was positioned above the $1,600 level. Data from CoinMarketCap indicated that ETH’s price rose by 0.49% over the past 24 hours. As a result, ETH was trading at approximately $1,671.61 at press time, which was just above its daily low of $1,663.98.

Meanwhile, the trading volume for ETH within the past 24 hours experienced a decrease of more than 13%. This led to the daily trading volume amounting to around $4,056,144,448. While ETH managed to achieve a daily price increase, the altcoin still had some work to do to recover from its poor weekly performance, which remained at -9.58%.

Daily chart for ETH/USDT (Source: TradingView)

Looking at the daily chart for ETH/USDT, the cryptocurrency’s price had plummeted to as low as $1,550 last Thursday. Bulls were, however, able to revive the altcoin’s price to close the day’s trading session off at $1,681.49. Since then, ETH’s price had been in a gradual climb.

Subsequently, ETH’s price was in the process of challenging the $1,685 resistance level at press time. If ETH’s price breaks above this barrier, then it will have a relatively clear path to climb to the next major resistance level at $1,775 in the following week. Continued buy support could also result in ETH’s price rising to $1,915 in the upcoming couple of weeks.

On the other hand, if ETH’s price fails to close a daily candle above $1,685 within the next 48 hours, then it may drop to the aforementioned $1,550 price point once again. The bearish thesis may be more likely to play out given the fact that the 9-day EMA line was positioned below the 20-day EMA line.

Furthermore, both of these technical indicators were positioned below the 50-day EMA line. This indicated that short-term and medium-term momentum was in favor of sellers at press time.

Disclaimer: The views and opinions, as well as all the information shared in this price analysis, are published in good faith. Readers must do their own research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.

The post ETH Could Face Huge Price Correction, Predicts Analyst appeared first on Coin Edition.

Read more on Coin Edition

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.