Ethereum reached a six-month high of $3,688 but soon declined. Is this the start of a new rise or just a temporary phenomenon?
A Bullish Mood, But Is It Enough?
In the futures market, many traders are betting on Ethereum's rise, which is a positive sign. However, this optimism hasn't reached the level of the 2021 peak when prices hit $4,890. On-chain data shows about 88% of ETH holders are in profit at current prices. Only 8% of holders are at a loss, having bought Ethereum above $3,707.
Slowing Down—or Warming Up?
Despite the recent price increase, the RSI indicator is falling, signalling a loss of momentum. If prices drop further, Ethereum might head towards $3,046, its next support level. Trading volume has decreased by 34.90% in the past 24 hours, indicating investor uncertainty.
What’s Next for Ethereum?
While there's some optimism among investors, technical indicators warn of a potential correction. Whether Ethereum will push new heights or experience a cooling-off period remains to be seen.
Ethereum has seen significant growth in recent weeks, but the market remains volatile. Investors continue to hope for further gains despite the warning signals from RSI and decreasing trading volume.
