Ethereum is still inside a symmetrical triangle formation while forming another lower when it rebounded from the $ 300 resistance. The price now seems to point towards the bottom of the triangle around $ 280 and moving averages.
The 100 SMA is above the 200 long-term SMA to indicate that the path of least resistance is on the upside. This suggests that support is more likely to hold rather than break, perhaps leading to another move towards the top.
However, RSI is going down so that ethereum can follow the lead while sellers have the upper hand. Stochastic is also pointing down to reflect the presence of sales pressure. If the bears are strong enough, they could push for a support pause and a downward trend of the same dimensions as the triangle.
But when both oscillators reach the oversold conditions and come back from then, the buying pressure could come back and lead to another test or even a break over the top.
Elon Musk's recent tweet about how he wants ethereum "even if it's a scam" is blamed for the price drop, although it's hard to spot which exact catalyst allowed to turn the price from $ 300. After all, it could simply be a profit taking once again on the key psychological brand and a confirmation of a double short term right here
In more optimistic relationships, ethereum has been integrated by Yahoo Finance into its trading platform . Some say this marks an important step in encryption, especially for retail investors, but others think that this could increase downward pressure.
Meanwhile cryptocurrencies could also wait for clues on market sentiment when it comes to establishing long-term direction. The risk appetite due to commercial developments is currently supporting stocks and commodities, which could weigh on the demand for ethereum and its peers