Can Ethereum Hold Above $200 To Prevent Further Drops?

Ethereum was hit pretty hard over the past 3-days after dropping by almost 25%.
The cryptocurrency managed to rebound at $198 as the buyers attempt a recovery.

Ethereum was hit pretty hard over the bloody weekend after it rolled over at the $250 resistance and went on to drop by almost 25% to reach a closing price of $198. In fact, it had gone as low as $190 but managed to rebound higher.

The cryptocurrency is now in the midst of a revival as the buyers attempt to remain above $200, but can they hold?

Ethereum Price Analysis

ETH/USD – Daily CHART – SHORT TERM

Can Ethereum Hold Above $200 To Prevent Further Drops? — ETH/USD. Source: TradingView

Market Overview

Ethereum started the weekend off pretty well as it managed to rise into the resistance at $250, however, upon reaching this level, the market rolled over and reversed. As it dropped, of fell beneath support at the 2-month-old rising trend line and continued to drop until the cryptocurrency managed to find support at $200 (specifically $198) before bouncing higher again.

More specifically, it fell into support at $190 but quickly recovered and moved higher. It is now attempting to overcome resistance at $205.

Short term prediction: BEARISH

Ethereum cannot be seen as anything other than bearish at the moment. It would need to break back above $227 to be considered as neutral and a further break above $250 could possibly turn it bullish, but that is some distance away.

If the sellers push ETH lower, the first level of support is located at $200. Beneath this, we can expect more support at the $191/$190 level. If the selling pressure continues beneath $190, additional support is located at $183 (.786 Fib Retracement), $181, and $180.

On the other hand, the first level of resistance to break is at $205. Above this, resistance lies at $213, $220, $227, $240, and $250.

The RSI is now beneath the 50 level and has flatlined. If it starts to rise back toward 50, this would be a signal that the selling momentum is starting to fade. It would still need to break above 50 to confirm that the buyers are in charge again.

Key Levels

Support: $200, $195, $191, $190, $183, $181.50, $180, $170, $167, $160..

Resistance: $205, $210, $213, $220, $227, $240,$245, $248, $250, $275, $270, $280, $300.