The ETH/USD pair is dropping like a rock and it seems unstoppable. It was trading at 1,852 at the time of writing. The bearish pressure is strong, so Ethereum could hit fresh new lows anytime. As you already know from my analysis, the altcoins could drop if the price of Bitcoin extends its sell-off.
ETH/USD dropped by 26.04% from Tuesday's high of 2,458 to 1,818 today's low. Technically, the bias is bearish, more declines are in cards. In the last 24 hours, ETH/USD is down by 22.29% and by 37.25% in the last 7 days.
ETH/USD Massive Drop!
ETH/USD accelerated its sell-off after failing to stabilize above the descending pitchfork's median line (ml). The aggressive breakdown below 2,159 signaled more declines. 1,728 level stands as a key level, as a potential downside obstacle. It remains to see how it will react around this support level.
Breaking below the median line (ml) signaled a potential drop towards the lower median line (lml). Still, only a valid breakdown below 1,728 may activate such a larger drop. Technically, after its massive drop, a temporary rebound is in cards from around 1,728.
Its breakdown below 2,159, registering a new lower low represented a selling opportunity. Now, it is too late to go short as the altcoin is almost to reach the 1,728 key level. A temporary rebound could help us to catch a new sell-off, a new selling opportunity.
Making a valid breakdown below 1,728 could signal more declines towards the lower median line (lml).