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Ethereum price analysis: observing negative price divergence

By Nathan Batchelor

15:29, 13 August 2020

Ethereum

Ethereum continues to enjoy strong dip-buying interest, as the second-largest cryptocurrency closely mirrors the price movements of its nearest rival, Bitcoin.

Ethereum price analysis shows that a large amount of negative MACD price divergence has formed, and the cryptocurrency is also failing to close above key long-term Fibonacci resistance.

ETH/USD medium-term price trend

The ETH/USD pair is set for another important week, as bulls and bears continue to battle for control of the cryptocurrency around the $400 level.

Ethereum technical analysis shows that failure to hold the price above $395 could encourage a major bearish correction.

Ethereum technical analysis

The daily time frame shows that the ETH/USD pair is struggling to move above the 23.6 per cent Fibonacci retracement of the 2018 trading low to the all-time price high, around the $395 level. 

Failure to overcome this key Fibonacci level could result in a strong medium-term technical correction back towards the $320 area.

If bulls can hold the price above the key resistance zone, further upside advancement towards the $440 and $480 levels should be expected.

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BTC/USD

99,212.50 Price
+4.980% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 106.00

ETH/USD

3,419.97 Price
+10.950% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 6.00

DOGE/USD

0.40 Price
+5.490% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.0012872

ADA/USD

0.90 Price
+10.180% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.00646

ETH/USD short-term price trend

Ethereum technical analysis shows that the cryptocurrency has a short-term bullish bias while the price trades above the $290 level.

The four-hour time frame currently shows that the price is trapped inside a large triangle pattern between the $360 and $400 levels.

Ethereum technical analysis

According to technical analysis, a $40 directional move should take place once a breakout from the triangle pattern takes place.

Traders should note that substantial amounts of negative MACD price divergence are also present across the one-hour time frame, and extend down towards the $310.00 and $270.00 levels.

ETH/USD technical summary 

Ethereum technical analysis shows that the ETH/USD pair needs to perform multiple daily price closes above $395 to encourage the next major push higher.

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