The second largest cryptocurrency in terms of total market value, Ethereum (ETH), is still experiencing a rapid decline. In the last 24 hours, the leading cryptocurrency Bitcoin (BTC) has gained 0.3% and surpassed the $26,000 level. On the other hand, ETH still has a 0.3% decrease and continues to remain in the red. This indicates the continuation of the negative sentiment.
Current Situation for Ethereum (ETH) Price
Ethereum dropped to $1,660, causing some fear in the cryptocurrency market. While the decline starting with BTC continued in other altcoins, they did not stop where BTC stopped. Despite the approval of the spot ETH ETF, ETH displayed a frightening picture by experiencing such a decline.
According to data shared by CryptoQuant, the amount of staking on the Ethereum network increased from 24,448 wallets to 87,488 wallets on Sunday, and the amount of ETH significantly increased. It seems that this increase has shown even more growth on Monday.
Looking at the Ethereum price chart, the 14-day RSI dropped to 24.53, indicating an oversold signal. This suggests that the bearish pressure on ETH may soon decrease. This RSI data actually overlaps with the EMA, and it is seen that $1,670 is critical for ETH. Currently, there is a possibility of the ETH price testing the $1,600 bottom. The buying pressure that may come from here could push the price to $1,700.
ETH/USD Chart
The range between $1,600 and $1,660 is seen as a strong support for the ETH/USD pair, and a bounce to the 200-day EMA point at $1,795 can be observed. Although this possibility seems quite positive for ETH investors, there is currently not enough volume, and it is essential to create volume for ETH to achieve a significant increase from here.
After this point, the $1,700 and $1,600 levels will be followed as support and resistance for the Ethereum price. There is no positive news on the horizon, and the price may continue to move sideways between these two levels for a while.
