The Ethereum price is currently experiencing a minor correction that stalls its current recovery phase. The altcoin has fallen 3.5% since the $1300 mark and there is a high chance of further decline. If selling pressure continues, sellers may retest the $1220 resistance that was recently broken. However, this could be a support.
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Brian Bollinger At the moment, the Ethereum price is going through a minor correction that stalls its current recovery phase. The altcoin has fallen 3.5% since the $1300 mark and there is a high chance of further decline. If the selling pressure persists, the sellers could retest a recently breached resistance of $1220 as a possible support, but will the price sustains above this support?advertisementKey points: A higher price rejection candle at $1275 resistance suggests a prolonged downfall
Buyers will be able to replenish bullish momentum by a possible drop to $1220
Ethereum’s intraday trading volume is $5.1 billion, which indicates a loss of 6.5%.
Source: TradingviewA V-shaped rebound from the $1100-1080 support pushed the Ethereum price 20% higher, to $1300. This bullish rally helped buyers surpass some significant resistances like $1160, $1220 and $1275. However, buyers failed to sustain above $1275 support for the past three days. The price plummeted below $1275 on December 3. The bearish engulfing candle causes a minor correction in Ethereum’s ongoing recovery. Trending StoriesThe ETH price is currently trading today at $1257 with an intraday of 1.35%. The daily candle’s long-wick rejection indicates that the altcoin’s price sustainability is below $1257. Moreover, this downfall, backed by decreasing volume, indicates the ongoing correction is temporary.Thus, the $1257 support aligned with the 0.382 Fibonacci retracement level offers a strong footing to resume the prior recovery.On a contrary note, the daily candle closing below the $1257 support will weaken the bullish thesis.Technical indicator-Relative Strength Index: the daily RSI slope failed to sustain above the neutral line, indicating uncertainty among market participants.advertisementEMAs: the 50-day EMA assisted the sellers in reverting the prices from the $1300 mark. The overall downtrend was accentuated by the 100- and 200-day EMAs that were downsloping.
Resistance level: $1375 and $1500
Support level: $1220 and $1160
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