In this episode of NewsBTC’s daily technical analysis videos, we examine the price action in Ethereum following the Merge upgrade in both the ETHUSD and ETHBTC trading pairs.
Take a look at the video below:
VIDEO: Ethereum Price Analysis (ETHUSD): September 15, 2022
Overnight last night, the Ethereum Merge upgrade occurred. As many expected, it turned out to be a sell-the-news event for the second-ranked cryptocurrency and has fallen by more than 10% intraday on the USD pair.
ETHUSD Pair Turns Bearish Post-Merge
On daily timeframes, things continue to look bad for Ethereum and other top crypto assets. The stock market is also in danger, adding stress to the entire situation.
ETHUSD on daily timeframes could be forming a head and shoulders top, just as LMACD crosses bearish. More downside could be necessary where the Relative Strength Index would hopefully find support at a lower trend line.
Ethereum sold off sharply after The Merge update was completed | Source: ETHUSD on TradingView.com
The Remaining Bullish Signal On Ethereum Weekly Charts
Turning on the Ichimoku gives Ether bulls at least some hope of hanging onto recent gains. Finding support in the Ichimoku cloud could lead to renewed energy and a retest of highs. The Ichomuku on Ethereum weekly charts also is trying to find support above the Tenkan-sen. Slightly above the Tenkan-sen is an even more important line to hold: the middle Bollinger Band.
Finding support above the middle Bollinger Band has in the past led to some of the altcoin’s strongest bull trends.
ETHUSD attempts to hold above the middle Bollinger Bands on weekly timeframes | Source: ETHUSD on TradingView.com
Ether Takes Beating On ETHBTC Ratio
The downside in Ethereum could be due to ongoing bearish macro conditions and strength in the dollar, but Ether even took a dive on the BTC trading pair.
Although the ETHUSD pair is hoping to find support at the bottom of the Ichimoku cloud, the BTC pair is trying to establish support above the cloud both on daily and weekly timeframes. On the weekly, the bottom of the cloud was already tested and held, which is a bullish sign. However, the downtrend resistance line appears to have struck again and sent Ether tumbling against Bitcoin.
Despite the bearish signals on the ETHBTC pair, the video’s conclusion provides a longer-term bullish outlook you have to see for the full picture.
Was downtrend resistance able to stop Ethereum once again? | Source: ETHBTC on TradingView.com
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Featured image from iStockPhoto, Charts from TradingView.com