Ethereum slips, what are the next vital trading levels for the coin?

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Ethereum has once again slipped on its charts at the time of writing. Over the past week, the coin has lost around 10% of its value. The bears got stronger in the market because the buyers left the market.

The technical outlook for the coin remained bearish and the selling pressure increased. The coin would continue to remain so over the next few trading sessions.

The coin has also seen sustained selling over the past 48 hours. Ethereum fell below its long-standing $1900 support line. Over the past 24 hours, the coin has attempted to recover, but the bearish price action is still strong at the time of writing. The bears could exert pressure to push the coins below the $1700 mark.

A drop below the $1700 mark will send ETH down another 19%. For the bulls to catch their breath, ETH must once again trade above the $1900 mark.

Ethereum Price Analysis: One Day Chart

Ethereum was priced at $1700 on the 1-day chart | Source: ETHUSD on TradingView

The altcoin was priced at $1793 at the time of writing. The altcoin has not traded near this price level for almost a year now. Airborne resistance for the altcoin stood at $1900, for the downside pressure to be invalidated the coin must attempt to trade above $2200.

The local support for the coin was at $1700, which the coin may trade below if the bears continue to push prices higher. The volume of the traded coin decreased and was seen in green. This indicated positivity on the chart.

Technical analysis

Ethereum
Ethereum saw a slight uptick in buying strength on the 1-day chart | Source: ETHUSD on TradingView

Ethereum was trading very close to the immediate support level. The coin was trading below the 20-SMA line, which meant that the selling momentum was active and strong. This reading meant that the sellers were in charge of the price momentum.

In correspondence with the same, the relative strength index was lower than the half line. This meant that there was less buying force in the market. However, it can be noted that there is a slight rise in the RSI which could be a sign that the buying force is accelerating.

The possibility of a reversal cannot be ruled out as there is a bullish divergence on the chart (yellow). A bullish divergence is related to a trend reversal.

Related Reading | Bearish Indicator: Is Bitcoin Heading For Its Ninth Red Weekly Close?

Ethereum
Ethereum continued to send sell signals on the 1-day chart | Source: ETHUSD on TradingView

The Awesome Oscillator was still negative on the one-day chart. The indicator is meant to represent price momentum, red histograms show negative price action. Red histograms also represent a sell signal on the chart.

The Directional Movement Index also decides the overall price movement, and it showed that -DI was above the +DI level. The average directional index (red) was above the 40 mark, which means that the current market trend was strong and the downtrend may continue in the next trading sessions.

Related Reading | Ethereum Profitability Drops to 2-Year Low as Price Corrects Below $2,000


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