NewsBTC

12 March 2025

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Ethereum Monthly RSI Drops Below Previous Bear Market Levels

Ethereum's price has fallen below $2,000 for the first time since December 2023, impacting bullish sentiment. Key observations include:

• The monthly Relative Strength Index (RSI) on the Ethereum CME Futures chart has reached its lowest level, lower than during the 2022 bear market.
• Crypto analyst Tony Severino noted this decline may indicate strong selling momentum but could also signal a hidden bullish divergence, as previous lows near $900 led to recovery.
• Currently trading at $1,920, Ethereum recently hit a low of $1,851.

Severino expressed caution; while a reversal is possible, he leans towards a bearish outlook due to ongoing selling pressure.

Additionally, the one-month Stochastic oscillator has dropped below 50, indicating bear market territory. Historically, stabilization occurs only when the Stochastic reaches below 20, suggesting a prolonged recovery period.