Current trend

Last week, the ETH/USD pair had ambiguous dynamics: at first, quotes fell sharply to January lows around 2120.00 amid sales of risky assets caused by growing fears about a possible recession of the American economy, but then the instrument began to recover positions, which currently continues.

Technical indicators confirm the continuation of a downtrend in the market: Bollinger Bands are pointing downwards, MACD remains in the negative zone, and Stochastic is approaching the overbought zone and may reverse downwards. Nevertheless, the price is currently close to the key resistance zone of 2812.50–2880.00 (Murrey level [1/8], 50.0% Fibonacci retracement, central line of Bollinger Bands), consolidation above which will lead to a change in the current trend, as well as to a new growth towards the targets of 3437.50 (Murrey level [3/8], 23.6% Fibonacci retracement), 3750.00 (Murrey level [4/8]). The key for the "bears" remains the level of 2500.00 (Murrey level [0/8], 61.8% Fibonacci retracement), the breakdown of which will ensure a continued decline to 2187.50 (Murrey level [˗1/8]) and 1875.00 (Murrey level [˗2/8]). Such a scenario seems more likely in the near future.

Support and resistance

Resistance levels: 2880.00, 3437.50, 3750.00.

Support levels: 2500.00, 2187.50, 1875.00.

Trading tips

Short positions can be opened below the 2500.00 mark with targets of 2187.50, 1875.00 and stop-loss of 2700.00. Implementation period: 5–7 days.

Long positions can be opened above the level of 2880.00 with targets of 3437.50, 3750.00 and stop-loss of 2600.00.