Recent price movements of Ethereum show mixed dynamics with signs of selling and potential for further correction.
Technical Analysis: Daily Chart
Ethereum has once again faced rejection at the critical 200-day moving average near $2.6K, reflecting persistent selling pressure. This prolonged consolidation signals buyer exhaustion and increases the likelihood of a deeper correction.
Technical Analysis: 4-Hour Chart
On the lower timeframe, Ethereum continues to oscillate within a rising wedge pattern, which is typically a bearish formation. The recent rejection from the upper boundary around $2.6K confirms seller dominance, with price now hovering near the wedge’s lower edge.
Market Sentiment Analysis
Ethereum remains range-bound just below a key resistance level, leaving investors uncertain about the potential for an imminent bullish breakout. A critical metric to watch is the ETH Taker Buy-Sell Ratio, which indicates whether buyers or sellers are driving momentum.
The future price movement of Ethereum largely depends on whether the current selling pressure escalates or fades amidst underlying mid-term demand.
