Ethereum (ETH/USD) plunged in the short term and now is trading at 1,633. Technically, after its strong growth, a retreat was natural, the rate could test and retest the immediate support levels before turning to the upside again.
ETH/USD dropped by 9.49% from yesterday's high of 1,784 to 1,614 today's low. The altcoin crashed in the short term as the price of Bitcoin registered a strong sell-off.
ETH/USD Aggressive Retreat!Technically, the currency pair found strong support right below the 1,784 historical level. The rate reached a strong supply zone and now it has erased some of the latest gains. As you can see on the H1 chart, the rate reached the downtrend line. This stands as a dynamic support.
Also, the former low of 1,571 represents an important downside obstacle. Actually, this level stands as a critical support. As long as it stays above it, the rate could develop a new bullish momentum and it could try to resume its growth.
ETH/USD Forecast!The sell-off could be over around the downtrend line and above the 1,571 downside obstacle. Testing and retesting these downside obstacles and registering only false breakdowns may announce a new bullish movement. The retreat could help us to identify new long opportunities.