ETH/USD dropped to 724 levels as it broke below 100-DMA. It is currently trading at 760 levels at the time of writing (Kraken).

On the upside, resistance is seen at 801 (23.6% retracement of 1594.89 and 556) and a break above would target 841 (100-DMA)/854 (20-DMA). Further strength would see it testing 900/919 (50-DMA)/952.

On the downside, support is seen at 723 (1w 20-SMA) and a break below would drag the pair to 700/622 (February 05 low). Further weakness would target 600/579 (200-DMA).

Momentum studies: Bias remains bearish on the daily chart with RSI weak at 38, bearish MACD crossover and stochs biased lower.

Bias appears bearish on the weekly chart as well with bearish MACD crossover, stochs biased sharply lower and RSI at 53 with lower bias.

Call Update: We recommended going short in our previous call. Both the targets have been hit.

Recommendation: Book partial profits, stay short. Trail SL: 800. TP: 700/675/622.

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