#BitwiseBitcoinETF ETH  wakes up.

Ethereum has formed a higher low which is a strong short-term bullish signal and is displaying encouraging signs of recovery. This change implies that the market may be preparing for a period of recovery which could reverse the recent downward trend. The lack of substantial trading volume further supports the waning selling pressure highlighted by the higher lows formation.

Lower volume may at first glance seem alarming but it also means that bearish momentum is waning. Bulls may be able to regain control in the upcoming weeks as a result particularly if January sees new capital entering the market. The 50 EMA, a crucial indicator of short-term market trends, is one of the critical support levels that ETH is currently holding above. The asset may soon test the $3,544 resistance level if it keeps moving higher.

Ethereum's reputation would probably be restored if it broke above this level opening the door for a test of the $3,800 range. But the general downward trend of the market is still a cause for concern. A full-fledged recovery of Ethereum is still hampered by broader market sentiment.