Ethereum is retreating below the EMA 200 moving average
- For the third day in a row, the price of Ethereum is on a bearish trend, with the formation of a new weekly low of $2600
Ethereum chart analysis
For the third day in a row, the price of Ethereum is on a bearish trend, with the formation of a new weekly low of $2600. That move pushed us below the EMA 200 moving average, which could increase bearish pressure on weakened Ethereum. On Tuesday, October 22, the price had resistance at the $2640 level and did not have enough strength to move above.
A bearish consolidation from that zone to the new weekly low was initiated last night. And in the previous few hours, the price managed to stabilize and recover to the $2620 level. Additional pressure in this zone creates the EMA 200 moving average. This brief bullish consolidation has the opportunity to move Ethereum above the moving average and add to the bullish momentum. After stabilizing there, we can think about starting bullish consolidation and growth to higher levels. Potential higher targets are $2650 and $2675 levels.
The pressure of the moving average on the price could determine the further trend this week
If Ethereum does not have enough strength to stabilize above the EMA 200, we will see a continuation of the bearish trend. With the first impulse, we go below $2600 to a new weekly low. With that step, we confirm the growth of bearish pressure on the price. A further pullback and a search for a new support level follow. Potential lower targets are $2575 and $2550 levels.
Spot Ether ETFs in the US reported net inflows of $11.94 million on Tuesday, October 22, thanks entirely to BlackRock’s ETHA. ETFs traded $118.4 million yesterday, compared to $163.18 million on Monday, October 21.
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