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.

AccessTimeIconMar 20, 2018 at 1:00 p.m. UTC
Updated Dec 12, 2022 at 12:55 p.m. UTC

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 CoinMarketCap

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.


  • 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


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.