- Ethereum is hovering in the $1.6K price range.
- The trading volume jumped by over 78%.
The brief uptick in the crypto market cap has reached $2.75 trillion. The largest asset, Bitcoin (BTC), trades closer to $87.4K, while the largest altcoin, Ethereum (ETH), is trading within the bearish zone, and the asset couldn’t escape from the hold.
ETH has formed a bearish trend line, and after multiple recovery efforts, the asset remains in the negative shade. A recovery wave above $2K has the potential to initiate an upside correction.
Following a 1.59% spike, ETH is trading on the edge. The altcoin opened the day trading at around a bottom level of $1,566. The modest bullish pressure triggered the asset to climb to a high of $1,643.
As of now, Ethereum traded at $1,638, with the daily trading volume staying at $11.18 billion. In addition, the market has observed a liquidation of $34.73 million worth of Ethereum as per Coinglass data.
The on-chain data revealed that a large whale just pulled out 1,897 ETH, worth around $3 million, from Bitget. Notably, the whale has withdrawn 3,844 ETH valued at $6.51 million over the past few weeks.
Can Ethereum Hold Its Ground or Is More Loss Ahead?
The Moving Average Convergence Divergence (MACD) line of the ETH/USDT trading pair has crossed over the zero line, indicating the early stage of a bullish start. Whereas the signal line remains zero, it confirms that the overall trend is not strong.
ETH’s Chaikin Money Flow (CMF) indicator, stationed at -0.03, suggests that capital is flowing out of the asset, inviting weakness in momentum. Meanwhile, the daily trading volume of the asset has increased by over 78.47%.
The brief wake of bulls has not strengthened, which might signal the dominance of the bears. Assuming the continuation of downside correction, ETH could fall and test the $1,580 support. Emerging death cross may open the door wider for plummeting to $1.5K.
If the altcoin rebounds, it will likely break above the $1,688 level. With this momentum, Ethereum could push past $1.7K, bringing the $1,836 target within reach. An extended uptrend might form a golden cross, making the recovery fast and sustainable.
Moreover, the Bull Bear Power (BBP) reading of 64.36 signals a strong bullish momentum in the market. Besides, Ethereum’s daily relative strength index (RSI) staying at 63.89, implies that the asset is in positive territory.
