Ethereum Price Analysis: ETH/USD Could See $100 Support Tested Despite Abra Update Support

  • The Ethereum (ETH) price on Wednesday cooled further as the bulls struggle to regain upside momentum.
  • Fintech app Abra has announced native Ether support with users previously not psychically owning the token.

ETH/USD: Recent Price Behaviour

The Ethereum price has been cooling over the past seven sessions; the bulls lost momentum after a vital channel breakout. On 5th March, ETH/USD smashed through a descending channel formation, and it had contained price initially from 25th February. Given the loss of momentum of late and the penetration of crucial demand, further downside remains likely.

Abra AnnounceS Ethereum Support

Fintech all-in-one wallet and exchange app Abra recently announced its support for Ethereum, according to an official notification via their website. Clients are now able to deposit, invest and withdraw Ethereum via the Abra app. They are also able to deposit and withdraw ETH via any other Ethereum wallet directly.

Furthermore, before this support announcement ETH was listed already on Abra as a synthetic asset, though users were only able to view the price movement information. People could at the time buy into the token without actually owning it. The new update, however, can allow users to physically hold Ethereum.

Abra CEO and founder Bill Barhydt commented following the update:

“By adding native ether support, Abra users will now be able to easily buy and move ether from other wallets to the Abra app. This also opens up the potential to use ETH as an on-ramp to invest in the other assets listed on Abra.”

Willie Wang, Abra’s Vice President of Product, added:

“The launch of native ether support is a crucial milestone for Abra and we’re excited to embrace the ETH community. The greatest part about this news is that this is just the beginning. In the near future, we will offer native deposit and withdraw support for the other ERC-20 tokens currently listed on Abra, in addition to other new tokens that we will now be able to list”.

Technical Review – ETH/USD

ETH/USD daily chart.

ETH/USD continues to trade within a known area of demand, which is observed from $140 down to the $130 price range. It has proven to find decent demand in this area, which has helped keep the price propped up. The noted zone is the only major one ahead of the significant psychological $100 mark; a breach would likely see this tested to the downside.

The price on 5th March broke out to the upside from a descending channel formation, which is still being retested. ETH/USD price action has been drifting south and very much magnetised to the previous upper acting trend line of the pattern. In terms of this support, it is currently tracking at the low end of the above-noted range, $130.

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.

Featured image courtesy of Shutterstock.

Author:
Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.