Ethereum’s price is still below $2,000, the crucial support level for the currency today. It has also erased gains from the weekend.
You can read more about it here:
- Ethereum could be on the verge of dropping to its key support level at $1.500.
- The daily chart has shown a pattern of a bearish pennant.
- The bullish and bearish factors have been outweighed.
EthereumETHThe token traded at $1.980, a significant drop from the all-time record high of $4.960. According to technical analysis, the coin may drop as low as $1500 and then hit the psychological $2500 level.
Technical analysis of the Ethereum price suggests that a decline to $1,500 will be likely
On the daily chart, ETH remains in a bearish technical market after falling 60% below its previous high. The price is slowly developing a pennant bearish pattern consisting of both a vertical and a triangle.
The flagpole has been completed and the line is in the triangle, where the two lines are about converge. In many cases, the bearish breakout occurs as these lines approach each other.
ETH’s price is still below moving averages as well as the Fibonacci Retracement Level of 78.6%. Also, it has fallen below the Murrey Math Lines reverse pivot level.
ETH’s price is likely to fall, with an initial target of psychologically $1,500. This level is a couple points above the lowest point in April.
This is supported also by the aforementioned. Polymarket pollThis puts the probability of this falling below $1,500 in 2019 at 72%.
ETH to be cheaper as the demand for ETH drops
It is because demand in recent months has been very low that ETH prices may fall to $1,500. The current events on the futures markets are a good indicator of the declining demand. Open interest in this market has fallen to $23 Billion, the lowest since 2024. The market has fallen from a high last year of almost $70 billion.
Spot Ethereum ETF outflows This trend has continued in this month. The funds’ assets have fallen by over $326 Million this month. It is the fourth straight month that they are in the red. Over $2 billion has been lost in their assets over the last 4 months.
The negative news about Ethereum has been overshadowed by these bearish catalysts. The staking queue, for example, has reached a new record, and the staking rate is now at 30%.
ETH supply on exchanges is at a new record low. Meanwhile, transactions, fees and the number of active addresses are all increasing. Ethereum has become the chain of choice for real-world tokenization.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: crypto.news
