Ethereum Price Analysis: ETH/USD at Risk of Fast Move to $100 Ahead of Constantinople
- ETH/USD has been slammed for the past seven consecutive sessions, dropping over 30%.
- Focus on the heavily anticipated Constantinople upgrade, which is scheduled for Wednesday 16th January.
ETH/USD has been under firm control of the market bears over the past few sessions. The price has dropped the past seven consecutive sessions, following a break of vital support. An ascending trend line was seen running from 15th December, when the bulls returned with a decent rally. They had pushed for whopping gains of some 98%, between 15 December – 7th January.
As can see via the daily chart, there was a clear lack of momentum to the upside from 2-7th January. The price kept touching a resistance without a convincing intention of breaking higher. This could be seen around the $165 mark, where the price had topped on 24th December, before entering a stubborn consolidation mode of trading.
Large price volatility to the downside is seen across the entire market, however it can be somewhat understandable for Ethereum. ETH was largely outperforming several of its peers in terms of percentage gains seen. Coincidence or not, this was coming ahead of the heavily anticipated Constantinople upgrade.
Constantinople – Wednesday 16th January
There will be a scheduled upgrade which has been named Constantinople at block number 7,080,000. This is expected to occur on Wednesday 16th January. It should be noted, however, that the exact date could still change, as it depends on block times between now and then. This may be activated 1-2 days before or after.
The Constantinople hard fork is something which many within the Ethereum community have been anticipating for a long time. It is largely expected that the benefits of the upgrade will see a significant improvement in efficiency, speed, and costs.
Technical Review – ETH/USD
At the time of writing, the daily candlestick of Monday 14th January has received support from a critical level. It has taken a minor bounce but remains dangerously close. This can be seen at $116.70, the price having most recently received support here between 27-28th December 2018. Prior to this, the back-end of November and early December, this area proved its significance.
A break below the key mentioned support will likely invite another large wave of selling pressure. Eyes will be on the big psychological $100 mark to the downside. The next level to note would be $105 and then $83.10, the December low area.
In terms of upside, there isn’t much in the way of resistance until the $160 price region. The bulls will have the challenge of again trying to break down the stubborn supply area. A test of the breached ascending trend line would also be probable, should the bulls return.
Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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