- Ethereum drops 6% as bearish trends gain strength
- Investors eye $1,800 as key Ethereum support level
- Technical signals hint at deeper Ethereum decline
Ethereum’s value has shown more depreciation because it failed to maintain vital resistance points during its latest price movements. The price decline of cryptocurrency has reached 6% due to resistance failure around the $1,880 support level. The monitoring activity of market analysts focuses on Ethereum because bearish indicators suggest Ethereum could continue falling in value.
Ethereum Faces Selling Pressure Amid Market Uncertainty
Since March 24 Ethereum experienced a continuous price decline that resulted in its value reaching $2,105. The recent price correction caused Ethereum to lose almost all of its remarkable upward movement from the previous fourteen days while investors continue tracking $1,800 as this level could potentially sustain the price.
According to the Core Personal Consumption Expenditure (PCE) Index report inflation rates in February achieved 2.8%. The Federal Reserve maintains its interest-rate target at 2% indicating that the current elevated rates may persist longer. The inflation rate has impacted both equities and cryptocurrencies together with other financial market sectors.
The market confidence in Ethereum experiences downward pressure. The SoSoValue data displays Ethereum spot ETFs received $14.8 million inflows during March 4 however the funds have not brought additional capital since that single event. The net assets show decreases in value resulting in $6.86 billion worth of Ethereum ETFs being currently available..
Technical Indicators Suggest Further Declines
Technical charts show a negative pattern for Ethereum price which has increased worry among traders. A triple-top formation at $4,000 and a neckline at $2,130 have signaled potential further downside. The cryptocurrency fell below this support level earlier this month and has since struggled to recover.
MACD technical indicator alongside Moving Average Convergence Divergence (MACD) manifests negative trends that strengthen bearish trader predictions. The Relative Strength Index currently shows weak buying activity because its trend has decreased. The Ethereum market will be closely monitoring the $1,523 support level in case any further price decreases occur.
Ethereum’s potential price movement may lead to lower levels approaching $900 because past price reactions have played out in that area. Buyers in the market will determine future trends due to active selling forces at this time.
