The Ethereum coin valuation just retested the $3475 support level for the third time, recording fresh losses for the day. The price is presently trading at $3477, representing a -869% fall for the day on 6th Jan. 2022. The currency is currently adhering to the levels of a collapsing wedge pattern, and crypto traders may want to queue for a breakthrough before initiating a new trend.
After our last Ethereum coin post, the pair has been humming in a descending wedge pattern. On December 30th, the price retraced further to the overhead resistance trendline after bouncing off the support trendline ($3500 mark).
ETH/USD 1 DAY PRICE CHART: SOURCE – COINMARKETCAP.COM
When the price bursts out from the resistance trendline, this pattern generally presents an outstanding long possibility. In any case, crypto traders may be positive as long as the price remains over the $3500 support level.
As the ETH price remains well above 200 EMA, the critical EMAs (20, 50, 100, and 200) indicate a general positive trend. Nevertheless, the continued pullback has resulted in a bearish crossover of the 20 and 100 EMA, which may bring further sellers to this currency.
According to the coin graph, the $3550 support level as well as flexible resistance trendline are the two critical technical levels which are now having the most influence on the ETH price. Once the price breaks through these resistance levels, crypto investors should anticipate a major directional movement in this currency.
In addition, the current rebound in the Ethereum coin is following a flag pattern. Continuing this pattern, the price may break through its ascending support trendline and retake the bottom support.
The classic pivot levels imply $3848 and $4110 as major horizontal resistance levels. Furthermore, the levels of assistance are $3563 and $3360.