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- ETH / USD broke below the channel support for $ 110.00.
- The RSI setting implies greater downside risks.
Ethereum is changing hands at $ 107.70, losing 4.5% from this Sunday hour. Ethereum, now the third largest currency with a market value of $ 11 billion, broke the lower boundary of the short-term range to $ 110, creating a bearish asset in the coming sessions.
Ethereum is moving in sync with other digital resources because there are no specific factors of the Eth that could have driven the decline. The market has lost its status as a safe haven, and is now dominated by speculative bearish sentiments fueled by year-end sales on global financial markets.
Technical framework of Ethereum
The bullish final target is still at $ 120; we must cancel it to mitigate bearish pressure. However, considering the general downward momentum, this goal seems to be out of reach.
The first obstacle was created by DMA5 for $ 112.60. It is followed by $ 114.00 of resistance (SMA50, 4 hours) and a strong barrier formed by a confluence of SMA100 and SMA200 (1 hour) to $ 114.50.
On the downside, the first support comes with $ 105.80, which is the lowest level of the Asian session. It follows on November 27th at $ 100.89 and $ 100 psychological.
The Relative Strength Index remains close to the oversold territory and points to the downside; it means that bearish momentum tends to gain traction in the coming sessions.
ETH / USD, 1 hour chart
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