Ethereum (ETH) has experienced a significant price drop of 11%, reaching $1755. This decline is linked to global macroeconomic factors, market liquidations, and bearish technical signals.
Macroeconomic Pressures and Market Sentiment
The crypto market is reeling from global economic uncertainty, triggered by US President Donald Trump’s tariffs. These measures raise concerns about inflation and interest rates, negatively impacting assets like Ethereum. Recent data indicates liquidations amounted to over $240 million, with $196.27 million in long positions.
Technical Analysis: Unpacking the ETH/USDT Chart
The chart shows a bearish trend with a break below the lower trendline. Ethereum is trading below the 200-day EMA, reinforcing the bearish outlook. The 4-hour chart reveals a descending channel, indicating potential rebounds.
Conclusion: What to Expect Next?
Ethereum's recovery requires a shift in market sentiment and resolution of trade tensions. The overall crypto market cap fell by 5.6% to $2.7 trillion over the last 24 hours.
Ethereum faces significant challenges due to financial and technical factors. Future movements depend on global economic conditions and market activities.
