Ethereum price just lost key support area but will soon reach $ 190
The Ethereum price just broke below an important support area after the downtrend lasting since the end of June (taking away 60% of its value). This move indicates that the ETH price may drop further.
Despite the gloomy price outlook, Ethereum is stronger than ever. Investments in decentralized finance (DeFi) based on Ethereum have increased significantly.
DeFi is considered a general indicator of Ethereum health, with $ 650 million currently investing in it accounting for two percent of the total supply. The amount is close to an all-time high, up more than 200% since the same time last year – when it totaled $ 220 million while in 2017 when DeFi had only $ 10 million invested.
However, it was unable to push prices up. Trader CryptoDude outlined the Ethereum price movement. He used a reversal chart that shows that the price has recently been broken below a very significant support area.
$ETH Damn. Bullish AF. pic.twitter.com/wlXbY9UmMc
— CryptoDude (@cryptodude999) December 11, 2019
Meanwhile, trader CryptoWolf is optimistic about Ethereum price action. He wrote that currently, ETH is trading below the WMA50 (similar situation happened at the end of 2016). For prices to reverse and turn around, it needs to hit a double bottom on the weekly RSI. A bullish candle then will allow ETH to rise above $ 190.
In the Medium post, the OKEx exchange team summarized the situation that Ethereum has occurred this year. The team pointed out that the second largest platform performed worse than Bitcoin.
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