Ethereum Stresses Over $1,000 Support Line

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Last Updated on 13 July 2022 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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While the trajectory upwards to the $1,400 resistance level seemed open for Ethereum last week, the last few trading sessions did not produce the result that many investors were hoping for. Therefore, the threat of a further fall below the $1,000 price line, which functions as a major support, is still very relevant.

With the fear of seeing the current uncertainties on the financial markets worsen again if inflation continues to act up (the CPI number in the US which will be released today is highly important), stresses over the direction of Ethereum is also rising.

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Stabilization above $1,000

Technical analysis over the past few weeks shows a fragile stabilization with Ethereum’s price now slightly above $1,000. The fall since Ethereum’s top attained in November of 2021 can thus result in two scenarios: a technical rebound after numerous episodes of stress or the extension of the current momentum heralding a possible capitulation and a further fall of some 20-25%.

As Christopher Lewis noted in his technical forecast:

The $1250 level has offered significant resistance a couple of times, and then the 50-day EMA which sits just above the $1400 level comes into the picture. At this point, I think it would be a little bit difficult to imagine a scenario where we shoot off to the upside without any type of larger catalyst.

Meanwhile rumors are that a strategy by FTX, the crypto platform of Sam Bankman-Fried, might be behind Ethereum current rout.