Ethereum (ETH) Price Predicted to See More Downside After Succumbing to Bearish Pattern

Libra Coin News
Mon, 05/11/2020 - 07:40
Alex Dovbnya
Traders expect the Ethereum (ETH) price to continue falling due to its grim technical picture
Cover image via stock.adobe.com
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Popular cryptocurrency trader Jonny Moe has poured more salt on the wounds of Ethereum holders by claiming that the biggest altcoin is in for another price drop.

Moe explains that a “clear” breakdown from a rising wedge pattern is a tell-a-tell-sign that more downside seems to be on the cards. 

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A bearish reversal pattern

A rising wedge is formed when the resistance line converges with the support line. It indicates buyer exhaustion, which is why it is treated as a bearish formation. 

When a certain asset records a high-volume drop below the support line, it is usually followed by a deeper pullback.

Considering how steep the lines are on the Ethereum chart, there is a high chance of a bullish-to-bearish price reversal.    

In the meantime, a fractal posted by pseudonymous crypto trader Mac shows a potential drop to $160.  

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Another Bitcoin drop

Ethereum started the new decade with a bang: it rallied 110 percent and reaches its 2020 high on $287 on Feb. 15.

Following the events of “Black Thursday” of March 12, it plunged 55 percent to sub-$100 levels before slowly recovering in tandem with Bitcoin.

After the most recent Bitcoin price pullback, Moe expects the benchmark cryptocurrency to continue falling, with Ethereum following suit.  

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.


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