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Amandeep Sonewane

7 December 2018

Cryptocurrency Technical analysis

How Does Ethereum Price Trade after the Flash Crash to $13?

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December 07, 2018 AtoZ Markets  Ethereum have lost 18.2 percent in the last 24 hours, dipping below the $90 mark for the first time during the past month. The coin is trading around $85 as of press time. Ethereum's market cap is $8.8 Billion in according to coinmarketcap stats.

ETHUSDC has dropped from $103 to $13 mark on Coinbase Pro market which caused panic among the traders. The news gets spread to the social media platforms, sharing the pictures with irregular price movements of Ether. It was most likely triggered by algo-trading bots. However, Coinbase exchange has issued a refund for investors who incurred losses due to the flash crash.

Coinbase Exchange posted on Twitter that:

"We’re aware of price movement on one of our order books that happened over the course of regular trading activity. Over the past 24 hours, all Coinbase platforms have operated as planned and no system-wide incidents have been identified."

Ethereum Technical Prediction For Short Term

Looking at the technical charts, Ethereum experienced a massive break below $90 in ETH price against the USD. The ETHUSD pair remained in a bearish zone and settled below the $90 level. The last swing lows was formed at $82.08 before the price corrected higher. It moved above $85 and the 23.6% Fibonacci retracement level of the last slide from the $103.30 high to $82.08 low. However, the upside move was capped near the $111 level.

The price failed near the 50% Fibonacci retracement level of the last slide from the $103.30 high to $82.08 low. As a result, there was a fresh decline and the price of the coin traded below the $82.08 lows. Sellers gained pace and pushed the price of Ether below the $90 and $85 levels. Most importantly, the price of the coin is now well below the $90 level and the 100 hourly SMA. To the upside, there are two key bearish trend lines formed with resistance at $96 and $101 levels on the hourly chart of ETHUSD pair. Therefore, an upside correction is likely to face a lot of selling interest near the $90, $95 and $101 levels.

In conclusion, Etheruem price is about to test the $80 levels. It seems like the price of the coin might continue to move down and it could even test $75 or $70 levels.

Ethereum Daily Pivot Points

Ethereum price has a significant daily support near $87 levels and resistance near $111 levels.

Think we missed something? Let us know in the comments section below.

ETH Ethereum ETH/USD
The views and opinions expressed in this article are solely those of the author and do not reflect the official policy or position of AtoZMarketz.com, nor should they be attributed to AtoZMarkets.

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