Share this article
Below $500? Ether Price Seeks Floor After 40% Drop
Ether's long-term price floor looks to have dropped to $300, courtesy of a bearish head-and-shoulders breakdown.
Updated Dec 12, 2022, 12:55 p.m. Published Mar 20, 2018, 1:00 p.m.
The 40 percent month-on-month decline of ethereum's ether cryptocurrency has pushed the long-term price floor down to $300, the technical charts indicate.
As of writing, the world's second largest cryptocurrency by market capitalization is changing hands at $534, as per CoinMarketCaphttps://coinmarketcap.com/currencies/etherum/historical-data/.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Stepping back, ether's sharp reversal from the Feb. 6 low of $555 (prices as per Coinbase) and the rally to near $1,000 in the subsequent days meant the cryptocurrency had established a strong price floor below $600. That now looks to have been pushed down.
Daily chart
As seen on the chart above, ETH left lower highs around the key descending trendline, as the rally from Feb. 6 lows ran out of steam and sellers took over after the cryptocurrency fell below its 100-day moving average (MA) on March 6.
The transfer of power from bulls to bears pushed the price down to $450 on March 18 – the lowest level since Dec. 11.
During that process, the cryptocurrency also witnessed a head-and-shoulders reversal on March 14 – indicating that the rally from the December 2016 low of $5.81 has ended and the bears have regained control. Further, a 50-day MA and the 100-day MA bearish crossover was confirmed on March 15.
So, ETH will likely find acceptance below $546 (61.8 percent Fibonacci retracement of December 2016 to January 2018 rally) and extend the drop to $300 (78.6 percent Fibonacci retracement) over the next couple of months.
View
- The price floor looks to have dropped to $300.
- That said, oversold conditions in the near-term may help ETH defend the March 18 low of $450.
- Only a convincing move above the head-and-shoulders neckline resistance (former support now seen at $661) would abort the bearish view.
- A move above $982 would signal a long-run bearish-to-bullish trend change.
ETH/BTC chart
Ether image via Shutterstock
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Bank of Japan Set to Hike Rates to 30-Year High, Posing Another Threat to Bitcoin
Rising Japanese rates and a stronger yen threaten carry trades and could pressure crypto markets despite easing U.S. policy.
What to know:
- According to the Nikkei, the Bank of Japan (BoJ) is set to increase interest rates to 75bps, the highest level in 30 years.
- Rising Japanese funding costs, alongside falling U.S rates, could force leveraged funds to reduce carry trade exposure, increasing downside risk for bitcoin.
Top Stories
