Ethereum drops almost 11% after the market sell-off

Ethereum price analysis for August 20, 2022, comes on a bearish note for the world’s 2nd biggest meme coin as we can confirm that the chances of making lower lows are certainly very high. Additionally, in the last 24 hours, the leading cryptocurrency has dropped by 10.24% which means that investors can expect the Ether token to retest the $1,500 price region. Moreover, the nearest resistance for the Ether token stands at the $2K price level which has been holding for a very long time. ETH did break the $2K price level but wasn’t able to retain prices above it.

As noted in our ETH price analysis for August 19, 2022, the Ethereum token has a major support at the $1500 price level which will be retested in the near future. If it doesn’t hold, another huge sell-off can be expected.

The data from CoinMarketCap shows that the trading volume of the coin surged by 54.86% in the last 24 hours, followed by a 10.57% drop in the market cap. Moreover, the Volume / Market Cap has a value of 0.1285, while the Market Dominance dropped to 19.54%.

The daily candle for Ethereum opened at a price of 1609 and reached a daily high of $1640. On the other hand, the daily low for ETH stands at a price of $1607. The price of 1 ETH at the time of writing is $1632.

Ethereum price analysis for August 20 on the daily chart

Ethereum price analysis for August 20, 2022, will take into account the data from the daily chart below and 3 major indicators in the crypto space.

Source: TradingView

The RSI indicator reads a value below 45, which confirms that the Ethereum bears continue to dominate the price action of the token.

The MACD line has broken below the signal line and a bearish divergence and the bearish intensity of the histogram continues to surge.

The price action for Ethereum is situated at the lower end of the Bollinger Bands which confirms that the selling pressure for ETH is very high.

Conclusion

Ethereum price analysis for August 20, 2022, ends on a bearish note for Ether with considerable chances of retesting $1500.