Ethereum (ETH) Retraces to $420 Support as the Market Takes a Breath

Key Highlights
Ethereum retraces to $420 support, may resume upward move
The downtrend will resume if price breaks below $420 support

Ethereum (ETH) Current Statistics
The current price: $428.00
Market Capitalization: $48,021,390,039
Trading Volume: $11,821,315,346
Major supply zones: $280, $320, $360
Major demand zones: $160, $140, $100

Ethereum (ETH) Price Analysis August 16, 2020
The biggest altcoin is trading at $427 at the time of writing. Earlier on the coin has traded and reached the overbought region of the market. Sellers have already pushed prices down after the coin reached the overbought region. The coin has fallen to the support above $420.

Nevertheless, the market will move up if the current support holds. The price will rise and retest the $440 resistance. On the other hand, if the current selling pressure persists and breaks below the $420 support, ETH will fall to $390 low. This will portend negatively for the coin. Meanwhile, price is currently above the $420 support.

Ethereum (ETH) Technical Indicators Reading
ETH is currently at level 70 of the Relative Strength Index period 14. It indicates that the coin is in the overbought region of the market. Today, Ethereum is retracing approaching the support line of the ascending channel. If price breaks below the support line and closes below it, the selling pressure will persist.

Conclusion
Ethereum has retraced to $420 support which has been confirmed by the Fibonacci tool. Earlier on a red candle body has tested the 0.786 Fibonacci Retracement level indicating that price will rise and reverse at 1.272 Fibonacci extensions. However, the tool is yet to indicate the direction of price, although,we are in a bull market. The direction will be made known after some hours of price action .



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