Ethereum Weekly RSI Hits Lowest Level Since May 2022
Ethereum (ETH) has declined by 13.8% over the past week, currently trading at the critical support level of $2,000. The weekly Relative Strength Index (RSI) is at its lowest in three years, suggesting potential further declines.
Market Conditions
- US President Trump's trade tariffs on Canada and Mexico have raised recession fears, with a 39% probability for 2025.
- The total crypto market cap fell from $3.7 trillion to $2.8 trillion recently.
- In the last 24 hours, Bitcoin (BTC) dropped 7.1% and ETH fell 8.9%.
- ETH has decreased by 41.6% over the past year, while BTC gained 26%.
- Analysts note that ETH's RSI is at 35.87, indicating selling pressure.
- If ETH follows a previous trend, it could drop another 60%, potentially reaching around $800.
Analyst Insights
- Analyst Jesse Olson warns of significant downside risks for ETH.
- Merlijn The Trader highlighted that ETH is at a crucial RSI level.
- Despite uncertainty, some analysts believe ETH may be nearing its bottom.
- One analyst pointed out that ETH is retesting the 21-Day EMA on the 3-Month chart, which it has never closed beneath.
- ETH exchange balances have dropped to a 9-year low, suggesting supply scarcity.
Currently, ETH trades at $2,126, reflecting an 8.9% decrease in the last 24 hours.
