Ethereum is approaching the level of 2500 US dollars. Some suggest that if this level is broken, there will be a big sell-off in the ether market.
Is ETH going to fall below $2,000?
ETH is currently trading at $2532, which is 3.2% less than 24 hours ago and 4.2% less than a week ago.
On the daily chart, Ichimoku’s “Cloud” indicator doesn’t look great. The “Ichimoku Cloud” is a popular and flexible tool that helps to identify support and resistance levels on a chart. It also helps to analyze the momentum and direction of the trend.
The price of ETH is currently showing a ‘Bearish Ichimoku Breakout”, as the closing price on Friday helped to confirm this phenomenon.
Ethereum currently trades below the bottom trend line. To confirm the bearish trend, the price needs to close at or below $2500 before the bullish trend can be confirmed. The price of ETH has already reached the point at which it was previously stopped during the downward movement last week.
Though the current technical data shows that the price of Ethereum is clearly in bearish territory, there have also been bullish signals that have emerged. The first is that support has been found at the 61.8% Fibonacci retracement in the $2500 area. The most important thing now for bulls will be to move the defense point up to $2600, which will provide further support for the ETH price.
The decline is expected to stop around 1825 USD.
ETH bulls need to do the improbable feat of closing above the Ichimoku cloud at $3,165 or above to deny a further price decline. Nonetheless, analysts think this is unlikely to happen soon.
As of now, one bitcoin costs 38,062 USD (around 9:00 a.m. on March 7). This is 3.49% less than yesterday, but almost exactly the same as it was 7 days ago.