Ethereum price analysis: Trading at a premium
Ethereum price analysis indicates that the cryptocurrency may have to fall further before the next bullish phase begins. The $290.00 and $360.00 levels still remain valid bullish targets.
Ethereum slipped sharply lower last week, as the second-largest cryptocurrency by market capitalization tested back towards the $215.00 level.
Ethereum price analysis shows that the latest pullback could be a chance to buy the cryptocurrency before it starts to race higher again.
ETH/USD medium-term price trend
The broader cryptocurrency market plunged lower last week, with altcoins nursing heavy double digit losses into the monthly price close.
Ethereum failed to hold critical technical support around the $255.00 level, and ultimately crashed as Bitcoin fell through the $9,000 benchmark.
Ethereum technical analysis shows that traders could buy the cryptocurrency at a premium if price starts to move below the $200.00 level.
Furthermore, Ethereum is one of the few top cryptocurrencies that is still trading above its 200-day moving average.
Overall, key support and potential buy zones are found at the $195.00 and $178.00 levels, while key resistance is found at the $255.00, $290.00 and $360.00 levels.
ETH/USD short-term price trend
Ethereum technical analysis over the short term shows that the cryptocurrency is only bullish while price trades above the $238.00 level.
A bearish triangle pattern breakout occurred last week, after the ETH/USD pair crashed below the pivotal $255.00 level.
Looking at the size of the bullish pattern, the ETH/USD pair has yet to reach the downside target of the triangle pattern breakout, which is located around the $190.00 level.
Aggressive traders may try to buy the ETH/USD pair around the $190.00 level, while more conservative may wait for a recovery back above the $238.00 level.
The $238.00 level is the neckline of a huge inverted head and shoulders pattern on the lower time frames, with substantial upside potential.
ETH/USD technical summary
Ethereum technical analysis shows that bulls may attempt to buy the cryptocurrency at bargain levels around the $190.00 to $178.00 area. The ETH/USD pair could eventually stage a powerful counter-rally.