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- 1 Ethereum (ETH) price witnessed a falling wedge pattern on the charts.
- 2 The ETH price retested its most important 100-day EMA mark yesterday.
The second largest cryptocurrency, Ethereum (ETH), traded in the bearish wave and continued to erode gains for the past few trading sessions.
Since the end of May 2024, the sentiments in the crypto market have looked bearish, and follow-on retracement has been noted. Amidst no negative news and no rate cuts announced by the Federal Reserve, the market leaders (BTC and ETH) failed to gain momentum and continued to reduce the gains.
Notably, the Ethereum (ETH) coin depicted lower low swings and has breached its crucial support $3500 mark this week. Meanwhile, the sellers are likely to push the ETH price toward the $3200 mark shortly. Nonetheless, it has respected the trendline support region and still looks neutral.
A falling wedge pattern was noted, known for its bullish reversal, and Ethereum has completed the 4th wave; it looks like the retracement is over, and it might see a rebound soon.
A break and close above the $3550 might trigger a sharp rebound and will pull ETH price toward the $3800 mark soon.
At press time, the Ethereum price traded at $3371 with an intraday surge of 1.36%, reflecting neutrality on the charts. It has a monthly return ratio of -9.20% and 77.20% yearly, reflecting short-term consolidation.
Analysts are guiding their bullish view and suggest that the ETH price may reflect a rebound and approach the $3800 mark soon.
Is Ethereum (ETH) Ready for a Reversal?
The Ethereum (ETH) price has done its retracement, retested the 100-day EMA mark, and respected the trendline of the falling wedge pattern. Notably, the chart structure is still positive, and only a single bounce above the $3550 mark would trap the bear cartel.
Source: TradingView
Its Momentum Oscillator, RSI curve stays in the negative region and plots a negative crossover. Similarly, the MACD indicator plots the red bars and directs a bearish outlook.
Moreover, the price action highlights a retracement, and the coin has regressed to its 38.2% Fib zone. Interestingly, the $3300 mark is the strong support zone.
Notably, the trading volume remained flat and soared over 6.57% to $16.03 Billion. The total supply of ETH is 122.37 million and has a fully diluted market cap of $413.93 Billion.
A post by @DaanCrypto on the X platform highlighted that the ETH price is still in the consolidation phase and hovering on an upward trajectory.
— Daan Crypto Trades (@DaanCrypto) June 24, 2024
Source: X
Active Addresses and Transaction Volume Outlook
The Active Addresses of Ethereum (ETH) dropped over 32% to 505k and witnessed a decline in investor interest.
Source: Santiment
Likewise, the transaction count data revealed a notable decline of over 21% and dragged to 845k, implying a reduced transaction activity this week.
Futures Open Interest Data Reveals Mixed Cues
The Futures OI data revealed the buyers have started accumulating and are looking for a significant pullback to retain the $3500 mark shortly.
Source: CoinGlass
The open interest data highlights a surge of over 1.28% to $15.03 Billion in the last 24 hours, revealing the longs addition.
The immediate support levels for the ETH token are $3300 and $3200, whereas the key upside hurdle is around $3440, followed by $3650.
What’s Next for Ethereum: $3200 or $3500 Mark in This Week?
Amidst the significant profit booking from the top, the ETH price has done the selloff and retested the $3300 mark this week. Meanwhile, the bulls have started accumulating and are looking for a rebound ahead.
If the Bulls successfully hold the $3300 mark, the buyers will likely gain their strength and retain the $3500 mark shortly.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.