Ethereum, which recorded another 12% drop on May 21, invalidated most of the May 20 recovery. Currently priced below $ 2500, ETH was around $ 2145 a few hours ago. With a market value of $ 280 billion, Ethereum has recorded a transaction volume of $ 131 billion in the past 24 hours.
1-hour Ethereum (ETH) price chart
After the big drop on May 19, Ethereum managed to rise as high as $ 3000 after consecutive refusals. However, another correction occurred afterwards. ETH fell below the $ 2620 and $ 2430 key support, which are currently acting as resistance. Support at $ 2100 was tested, although the asset did not fall to the previous low of $ 1880. At the time of this writing, Ethereum is witnessing another pullback from support at $ 2430, but it seems likely that it could breach it in the next few hours.
The asset is expected to retest the 50 Moving Average and the $ 2620 resistance.
The Relative Strength Index (RSI) is currently neutral on the 1-hour chart, but is exhibiting another minor retreat before selling pressure is seen. The MACD is stopping the bullish trend as the price must move gradually over the next 24-48 hours.
The stochastic RSI showed an overbought condition that confirmed the likelihood of a short-term downside before fluctuating.
At the moment, Ethereum could possibly drop to the $ 2300-2200 range before heading out to retest resistance at $ 2620. The 50-Moving Average now has to be breached after being rejected three times. The stop loss should be minimal, as volatility may lower the price depending on the general trend.