- Ethereum is holding steady at the $2.5K mark.
- The market has witnessed liquidations totalling $100.82 million worth of ETH.
Escalating bearish pressure in the crypto market has intensified the downside risks across the assets. All major assets have entered the red zone, marking their losses, with Bitcoin hovering at around $105.4K. Meanwhile, the largest altcoin, Ethereum (ETH), had a series of recovery attempts, and the big question looms: when will Ethereum break past $3K?
ETH kicked off the trading day with the bulls leading the charge, as the asset recorded its daily high at $2,609. But the bears swiftly took command of the asset and plunged to a low range of $2,456. To trigger a short-term positive breakout, Ethereum is supposed to clear the resistance zones between $2.6K-$2.7K.
The altcoin has registered a 1.94% loss within the last 24 hours, and ETH is currently trading at around $2,537, with its market cap at $305 billion. Besides, the asset’s daily trading volume has dropped by 9%, reaching $23.6 billion. In addition, the market has observed a liquidation of $100.82 million worth of Ethereum during this timeframe, as per Coinglass.
Notably, a whale who previously made over $30 million from Ethereum has spent 37.15 million USDC to purchase 15,000 ETH at $2,477 each. Over the past week, this whale has used approximately 221 million USDC to buy a total of 85,465 ETH at an average price of $2,584.
Are Ethereum Bears Gearing Up for Another Leg Down?
The altcoin, ETH, has established a potent death cross, with the price nosediving to the $2.5K range. Further downside correction of ETH might trigger a test of the crucial support at around $2,492. In a worst-case scenario, the altcoin could even tumble more, making the reversal more difficult.
Assuming the recovery of Ethereum, it might likely challenge the $2,557 resistance. An extended upside price movement could push the emergence of the golden cross, and climb toward the $2,585 mark. If the bullish momentum picks up, more recovery may take place, eyeing the $2.6K threshold.
ETH chart (Source: TradingView)
Moreover, the four-hour technical chart shows that the Moving Average Convergence Divergence (MACD) line and signal line of the ETH/USDT trading pair are positioned below the zero line. This crossover generally points out the active and broader bearish sentiment in the market. Ethereum’s Chaikin Money Flow (CMF) indicator settled at 0.07, which implies a moderate buying pressure and a positive money flow into the asset. A sustained rise in value may strengthen the bullish trend.
ETH chart (Source: TradingView)
Furthermore, a negative Bull Bear Power (BBP) value of -28.43 indicates a strong bearish dominance in the market, with intense downward pressure. The daily relative strength index (RSI) of ETH, found at 46.75, suggests a neutral to slightly bearish momentum, and a continued weakness could push it lower.
