CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82.67% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money

Ethereum price analysis: $150.00 level key weekly pivot

By Nathan Batchelor

11:42, 16 March 2020

Ethereum price analysis

Ethereum faces a huge trading week ahead after the second-largest cryptocurrency by market capitalisation plunged to its weakest trading level since June 2017 last Friday.

Ethereum price analysis shows that the $150.00 level is likely to act as a major pivot point for the cryptocurrency this week.

ETH/USD medium-term price trend

Ethereum suffered its largest one-day drop since January 2018 last Friday as the altcoins incurred a brutal market sell-off alongside Bitcoin.

After a promising start to the year the medium-term prospects for the cryptocurrency are now in question, with the ETH/USD pair trading down more than 50 per cent from its 2020 price high.

Ethereum technical analysis shows that that if bulls fail to gain traction above the pivotal $150.00 level the cryptocurrency could slide back to 2018 low, around the $80.00 level.

If bulls can somehow manage to build traction above $150.00 the ETH/USD pair could rally towards the $180.00 resistance level.

It is noteworthy that the ETH/USD pair has turned technically bearish since breaking below the $185.00 level last week.

What is your sentiment on MATIC/USD?

0.48070
Bullish
or
Bearish
Vote to see Traders sentiment!

ETH/USD

3,334.62 Price
+1.610% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 1.75

XRP/USD

2.21 Price
-0.230% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 0.01101

BTC/USD

95,823.95 Price
+0.730% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 50.00

Gold

2,615.80 Price
-0.290% 1D Chg, %
Long position overnight fee -0.0151%
Short position overnight fee 0.0069%
Overnight fee time 22:00 (UTC)
Spread 0.30

ETH/USD short-term price trend

Ethereum technical analysis over the short term shows that the cryptocurrency has a bearish short-term bias while the price trades below the $237.00 level.

A bullish inverted head-and-shoulders pattern will form if the price starts to stabilise above the $150.00 level. The size of pattern implies a potential rally towards the $210.00 level could be forthcoming.

With this in mind, both time frames appear to confirm that the $150.00 level should be pivotal this week.

Interestingly, bullish MACD price divergence has also built up during the recent decline across the 30-minute timeframe.

The bullish MACD price divergence extends towards the $185.00 level, which is also the ETH/USD pair’s 200-day moving average.

ETH/USD technical summary 

Ethereum technical analysis shows that the $150.00 level should remain pivotal for the ETH/USD pair’s short and medium-term directional bias. If the bearish trend continues the cryptocurrency could test towards the $80.00 level.

Markets in this article

ETH/USD
Ethereum / USD
3334.62 USD
52.75 +1.610%

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 660,000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading