Ethereum Technical Analysis: ETH Plunges Below $3000 As Markets Crash 

Daily Ethereum ETH Price Analysis

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Last Updated January 21st 2022
3 Min Read
  • The Ethereum price slipped below the $3000 level during the ongoing session and is currently down almost 5%. 
  • ETH has been bearish all week and had started Monday with a drop of over 4%. 

The Ethereum price has been in the red the entire week, starting with a drop of 4.08% on Monday. On Tuesday, the price continued to drop, with ETH falling by 1.60% and dropping to $3161. The price remained in the red on Wednesday and Thursday as well, with ETH dropping by 2.39% on Wednesday and 2.65% on Thursday to settle at $3004. The current session saw ETH plunge below the $3000 level, with the price hurtling towards $2800. 

Ethereum Price Chart Indicates ETH Could Slip Below $2800

The Ethereum price had started the previous week in the red but recovered on Tuesday, rising by 5.08% and settling at $2340. The price continued to push up from this level, moving to $3373 on Wednesday and then dropping back on Thursday, falling by almost 4% to $3241. Friday saw ETH recover, as it registered a marginal increase of 0.45%. The weekend saw ETH remain in the green, registering an increase of 2.22% on Saturday and 0.63% on Sunday to end the weekend at $3349.

Image: ETH/USD daily

ETH/USD daily chart 012122

Despite the bullish weekend, the Ethereum price fell back on Monday, dropping over 4% to $3212. The price continued to drop for the rest of the week, with Tuesday registering a drop to $3161. Wednesday saw ETH fall by 2.39%, and then a drop of 2.65% on Thursday saw ETH drop to $3004. ETH plunged below $3000 during the ongoing session, as the price looks set to drop to $2800.

We can see that the MACD and Parabolic SAR have flipped to bearish, indicating that the price could drop further.

Looking at IntoTheBlock’s IOMAP for the Ethereum price, we can see that ETH faces strong resistance at around $3138. At this price level, over 1.6 million addresses have sold more than 2.7 million ETH.

Image: IntoTheBlock 

ETH/USD volume chart 012122

The 4-hour Ethereum price chart shows us that ETH had pushed up to $3362 on the 15th after pushing above the 20-bar SMA. With the SMA now acting as support, ETH was able to stay at this level for the next few sessions before dropping below the 20-bar SMA on the 17th and dropping to $3258. ETH continued to drop from this level, falling below the 50-bar SMA and plunging to $3117 on the 18th. ETH registered a marginal increase from this level, rising to $3161 before dropping to $3059. ETH made a strong recovery from this level, pushing above the 20-bar SMA on the 20th and rising to $3261. However, the 50-bar SMA acted as resistance, and ETH fell back, slipping back below the 20-bar SMA and settling at its current level of $2850.

The MACD has just flipped to bearish, indicating that the price could drop further.

Image: ETH/USD 4-hour

ETH/USD 4-hour chart 012122

Ethereum Price Is Expected To Reach These Levels

Looking at the Ethereum price chart, we can see that ETH has been extremely bearish during the current week. If the current sentiment persists, we could see ETH drop to $2800, but if the price can recover, it could push to $2900.