ETH/USD goes below $200 as bulls get slaughtered

Fibo Quantum

  • ETH/USD is currently priced at $196.25.
  • Technical analysis shows that price is severely undervalued.

ETH/USD had a disastrous Tuesday, wherein the price fell from $228.50 to $198.97, going below $200 for the first time in two months. Currently, the price has fallen further to $196.25. Technical analysis shows that the price is presently severely undervalued, so bullish correction may be on the horizon.

ETH/USD daily chart

The ETH/USD daily price has fallen below the lower curve of the 20-day Bollinger band showing that it is undervalued. The widening of the 20-day Bollinger jaw shows increasing market volatility. The 50-day simple moving average (SMA 50) is looking to cross-over the SMA 20 curve, which is a bearish signal.

The signal line is diverging away even more from the moving average convergence/divergence (MACD) line, showing increasing bearish momentum. The Elliot oscillator shows eight straight bearish sessions of growing intensity. The relative strength index (RSI) indicator has crept into the oversold zone.