Analysis: Rupture of upstream channel in Ethereum price is possible if Bitcoin consolidates

The consolidation of Bitcoin would allow Ethereum to double the fund on its BTC pair and possibly escape the upstream channel on its USDT pair

Last week, the prices of the altcoins fell significantly, and investors without Bitcoin ( BTC ) saw the value of their portfolio fall.

Initially, the price of Ether ( ETH ) followed the higher Bitcoin as the highest rated digital asset recovered from the $12,000 resistance, but as BTC continues to slowly push up, Ether struggled to turn $400 into support.

Ether’s loss of momentum and correction in altcoins has led to a number of crypto traders tweeting that the altcoin season is over and many are citing the low price action in the ETH/BTC pair as evidence of this point of view.

Looking at the weekly ETH/BTC chart, traders will notice that the pair is about to drop below the rising trend line and the high-volume VPVR node at 0.027294 sats.

The loss of this level opens the door for a further decline to 0.024519 sats and below this Ether is approaching annual lows near 0.0160 sats.

In the last 24h we can see that losing the support of 0.032385 sats pushed the price of Ether to the VPVR gap of 0.032385 sats to 0.029536 sats.

The bleeding seems to continue until the price reaches the level of 0.029536 sats, but the current daily candle is beginning to form what appears to be a double bottom and there seems to be an over-sell jump occurring with the RSI rising from 28 on the daily term.

The signal line and MACD for the moving average’s convergence indicator are still in sharp decline and the absence of a strong buying volume diminishes the chance that a reversal of the short-term trend is happening.

Perhaps if the price of Bitcoin Investor entered a period of consolidation in the next few days, the ETH/BTC pair could regain some lost ground, but this seems unlikely at the moment.

There is hope in the ETH/USD pair

The ETH/USD pair paints a different picture as the pair continues to hit daily highs and the price action follows the support and resistance trend lines of the rising channel.

Channel support follows the 100-day moving average and since Ether is able to hold $400 as support, $405 and $417 are the next hurdles altcoin should overcome.

The price action within the upwards channels is very easy to track and the 4-hour chart shows the MACD converging with the signal line as the sale declines and the RSI is rising to 45.

In the short term, a move to the middle line of the rising channel at $400 appears likely, but traders still expect this level to be strong resistance. A bullish break of the rising channel ($430) could allow Ether to pursue the $468.

If the price of Ether falls below 100-MA and falls from the rising channel, there will be support at $353, $330, and $315. The loss of these levels means that investors can expect a steeper drop to $248.