Ethereum Price Drops 40% Amid Bearish Market Sentiment
Ethereum's price has dropped nearly 40% from its previous high of $4,000, now trading at $2,410 after a 4.18% intraday decrease. This follows a bearish trend and a recent 10% crash.
- ETH is currently in a falling wedge pattern and has broken below its February consolidation range.
- The 24-hour low was $2,398, indicating renewed bearish pressure with two bearish engulfing candles.
- The 100 and 200 EMA lines are close to a bearish crossover, and the daily RSI is nearing the oversold boundary.
On a positive note, whale accumulation is increasing as addresses holding between 10,000 and 100,000 ETH have risen by 24% over the past year. The cost basis for accumulating addresses is now $2,199.
CryptoQuant CEO Ki Young Ju notes that no significant selling pressure emerged post-hack and emphasizes Ethereum’s dominance in the stablecoin market, which could benefit from potential regulatory changes.
Key levels to watch include the $2,300 support level, which must hold to avoid further declines towards $2,000. A potential bullish reversal could test resistance near $2,800.