The price of ethereum was showing relative strength compared to the overall market in the time after the crypto sell off.
However, after hitting its head on 2900 twice the price is selling off toward the 1980 support and is at the last low of the 2260 area.
Double Top on the Short-Term
Looking at the chart you can see ethereum is stuck in a range with the 2900 double top and the already established support of 1980.
And this is the rub, because as ethereum pushes down to 1980, and assuming it tests it again then it runs the risk of dropping to 1600.
Price can very well stay range bound, but we do need to recognize the failure at 2900 with the double top I mentioned above.
Between this and the sell off in many other alts that are already at key levels such as RUNE and LTC the overall alt environment feels heavy.
Ethereum maintaining above 1980 will be important in my opinion as it has shown relative strength compared to the other alts so any breakdown in its price will more likely be a flood gate opening.
On the upside, price needs to rebound and test the 2900 level and that needs to be battled before we can see price pushing back into the 3000s.
That is pretty much it, holding the range is key in my opinion for the near-term.
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The way BTC dominance is looking, alts don't seem to be having good times ahead.
Posted Using LeoFinance Beta
My Ethereum's currently rotting on my exchange wallet after the dip dipped deeper so it's going to be a long waiting game for me.