Ethereum trades in the $3.6K zone over the past 24 hours.
The market saw $92.74 million worth of Ethereum liquidated.
With the altcoin season around the corner, major altcoins show varied trends. Despite rallying, the largest altcoin, Ethereum (ETH), is grappling at $3.6K. ETH should stage a strong upside correction to push the price past the $4K barrier.
ETH has experienced a pullback in its price after visiting the $4K resistance level. Notably, Ethereum’s price remained stable above the $3.6K zone, and it is currently consolidating and targeting beyond the $3.7K resistance. Over the last 24 hours, ETH has reached a low of $3,520 after testing $3,773 in the early hours.
ETH price chart (Source: CoinGecko)
The altcoin had a modest loss of 1.17%. At press time, ETH trades at $3,661. In addition, the market observed a liquidation of $92.74 million worth of Ethereum during this timeframe. In the meantime, the daily trading volume of the altcoin stays at $51.87 billion.
Inferring the weekly price chart, Ethereum trades with a 0.10% gain on the upside, displaying bullish momentum. ETH began the week trading at $3,674, and it chose to trade on the upside, hitting a weekly high of $4,089 on December 7.
Can Ethereum Bounce Back?
The four-hour price pattern of the ETH/USDT trading pair displays the downside price movement. If Ethereum lingers near the $3.6K level without building momentum, it could send ETH down to $3,512. In a highly bearish scenario, the price can plunge to the $3.3K mark.
However, ETH might attempt to secure the $3.7K range to avoid further declines. This level is crucial for ETH in determining whether it can sustain its bullish momentum or face a pullback. An upside break above the $3.8K resistance could call for the upside correction, pushing the price toward $4K.
Moreover, Ethereum’s current market sentiment is mildly oversold, with the daily relative strength index (RSI) at 39.13, suggesting the market might have room for further downside correction. Besides, the daily window of ETH reveals that the short-term 50-day MA crossed the long-term 200-day MA.
ETH chart (Source: TradingView)
In addition, the technical chart analysis of Ethereum demonstrates the ongoing bearish momentum. Both the Moving Average Convergence Divergence (MACD) line and signal line are settled beneath the zero line, signaling that the downtrend may persist in the market.
The Chaikin Money Flow (CMF) indicator, which accesses the money flow, is positioned at 0.00, suggesting a balance between buying and selling pressure with no clear dominance by either bulls or bears. Meanwhile, ETH’s daily trading volume has dropped by over 20.12%.
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