Ethereum Struggles Below $3,659 Resistance: Is Momentum Fading?
Ethereum The company is grappling with key resistance at $3,659 as momentum appears to be waning. After a period of steady gains, cryptocurrencies have entered merge stage, bulls are working hard to push it higher. The pause raised questions about whether Ethereum’s rally is running out of steam or is simply gearing up for the next big move.
This article aims to analyze ETH’s current consolidation below the $3,659 resistance, focusing on its impact on market pressure. It will also look at technical indicators, support areas, and potential to determine if ETH can resume its gains, or if weakening strength will lead to further losses. breakthrough scene.
Key Indicators Reflect Ethereum’s Price
ETH shows strong bearish sentiment momentum On the 4-hour chart, its price is attempting to move towards the $3,360 level and the key 100-day simple moving average (SMA). This key level can act as dynamic support and determine the next move. A rebound may follow a successful defense, while a breakdown may lead to more losses and a test of lower support areas.
4-hour chart analysis shows that ETH’s relative strength index (RSI) has fallen to 56%, which is below the overbought zone. This decline marks an easing of buying pressure and suggests a possible shift in market sentiment. When the RSI falls back, it indicates bullish Sentiment may be fading and markets may consolidate or reverse. If the RSI continues to fall, it will confirm increased selling pressure, possibly leading to a deeper correction.
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Although Ethereum remains above the daily 100-day moving average, it is still showing bearish signs with its price steadily declining towards the $3,360 level. While the 100-day moving average provides some support, the downward movement means selling pressure dominates, weakening the bullish momentum. Continued declines could test the strength of the $3,360 support, below which could lead to further losses and herald a further correction in the market.
Finally, the 1-day RSI shows that negative values are growing pressure Since ETH fell back to 65% from the signal line, it is aiming to move towards the 50% threshold. As the RSI continues to fall towards this threshold, it suggests that sellers are gaining dominance, which could pave the way for further declines unless buying pressure can resume to change market sentiment.
Will Ethereum find new support or fall further?
The key level to monitor is $3,360, which has historically been a strong support area. If Ethereum can hold above this level, it could trigger a rally that drives the price towards the next level resist $3,659 mark.
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However, if the price fails to sustain above $3,360, ETH may experience a significant decline, with $3,051 becoming the next key support area. A break below this support could open the door to further downside moves with even lower targets support district.
Featured images from Unsplash, charts from Tradingview.com
