Ethereum
3 Reasons Why $3,365 Is Critical For Ethereum (ETH)
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Ethereum ETH price is hanging in the balance at $3,365 because this price level is actually much more important than you might think. The asset has clearly gained momentum for a reversal after breaking above the 100 exponential moving average, but for now, ETH is struggling and could hit $3,000 very soon.
Ethereum Ether has always held on to this critical support level, which is located around the $3,365 level. If Ether were to break below this mark, it would indicate that this support is no longer there and will likely drop to $3,000. This is the next important psychological level. The 100 EMA often serves as a reliable indicator of the overall trend, and a break below it can trigger a sell-off.
Ethereum/USD Chart by TradingView
The 200 EMA is the only significant support level between the 100 EMA and the 200 EMA in terms of technical support, except for the 200 EMA, which is located much lower. Ethereum could see a rapid decline to the 200 EMA level, or around $3,000, if broken.
Not only Ethereum ETH price has broken through the 100-point exponential moving average, but it has also broken through the consolidation line that it has been trading within for the past few weeks. This channel has given traders some predictability by providing a range within which ETH has been trading. A break below $3,365 would mean that the market is leaving this channel to the downside, suggesting that the trend could turn from bullish to bearish and potentially lead to more losses.
The 100 EMA serves as a key support level, and a break below it could see ETH move quickly towards $3,000 as there would be no other support level. Additionally, a break below this level would indicate a breakdown of the current consolidation channel and could signal a reversal of the bearish trend.
About the Author
Arman Shirinyan
Arman Shirinyan is a trader, crypto enthusiast and SMM expert with over four years of experience.
Arman strongly believes that cryptocurrencies and blockchain will be of constant use in the future. Currently, he focuses on news, articles with in-depth analysis of crypto projects, and technical analysis of cryptocurrency trading pairs.