A popular crypto analyst claims that Ethereum (ETH) price could go through a major correction once it drops below a key psychological level.
The analyst, known by the alias Capo, said that Ethereum price could drop significantly once the $1,700 support is broken to his 336,100 Twitter followers. told.
“When ETH breaks $1,700, the real decline begins.”
Capo suggests that once Ethereum’s $1,700 support level is broken, the second-largest crypto-asset by market cap could hit a price of $1,000, down over 40% from the current level.
“ETH low timeframe
It consistently generates lower highs (lower than the previous one) and this boost has already been touched down many times.
The recent drop could be confirmed with a clear break of $1,700, ana target = $1,000”
Last week, the analyst noted that Ethereum’s support level of around $1,700 has borne selling pressure five times.
“Serious question: do you really think ETH will maintain this level? This is already the sixth touch.”
Capo expects Bitcoin (BTC) to drop further along with Ethereum. According to Capo, Bitcoin is currently trading in a redistribution range. When it breaks below the low of the range, it could drop as much as 30% from current levels.
In the redistribution trading range, if the price fails to break above the high of the range, it forces it to succumb to selling pressure from market participants expecting lower levels.
“Clear range. What’s within the range and above the range indicates that this is a clear redistribution range. A clear break of the range to the downside = confirms the last drop = $21,000-23,000.”
You can check the price movements here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, KoinFinans and the author of this content cannot be held responsible for personal investment decisions.