Ethereum’s price is holding above $1.900 in spite of the recent volatility on the crypto market. But a bearish cross-over continues to be a threat for a decline below this important level.
The following is a summary of the information that you will find on this page.
- Ethereum’s price reached $1,900 as investors shifted away from high-risk assets and liquidated their holdings.
- The daily chart confirms a crossover of the SMA in a downward direction.
The data published by crypto.news indicates that Ethereum is (ETHPrice fell by 12%, to $1.930 intraday on Monday. It then recovered some of that loss before stabilising at around $2,000.
Ethereum’s price has been fluctuating in a $1,900 – $2,000 narrow range for the last 3 sessions. Traders weighed the increasing geopolitical risk of the Middle East with the backdrop macroeconomic uncertainty.
Ethereum fell in price after Bitcoin dropped toward $65,000 In response to fears of an oil blockade on the Strait of Hormuz due to rising prices of crude that have reached $100 around the world tensions between the U.S. and Iran escalated.
Ethereum’s price fell, causing the liquidation of highly leveraged positions on derivatives markets. Data CoinGlass data shows that in the last 24 hours nearly 75 million dollars was liquidated on ETH futures, and the largest part of this amount is from long positions.
A spike in long-term liquidations could intensify the selling pressure, and increase downward momentum. This is especially true during periods when market volatility has been high, such as over the last 24 hours.
It seems that technical indicators are pointing to bears gaining the upper-hand soon. The 20-day SMA for ETH has crossed the 50-day SMA in a bearish direction on the daily chart. These key moving-averages will continue to trend downwards as long the asset struggles to find its feet.
Ethereum has moved down below the Supertrend Line, confirming that current control is with sellers. The Chaikin Money Flow Index also showed a low reading. This indicates that money has flowed out of the asset.
The Ethereum price is therefore at a high risk to drop below $1,900. This could cause bears to test the swing low of February 24 near $1800.
The opposite is true if the price moves above the SMA of 50 days, which stands at $2 248, then this may be viewed as a positive shift in market momentum.
Disclosure: The article is not intended to be investment advice. This page is intended for informational purposes only.
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Source: crypto.news
