Cryptocurrency prices are down across the board, with most coins trading at lower prices than they were last month. While some investors are panicking, others believe that this is a good opportunity to buy in at lower prices. The sentiment around crypto seems to have turned negative recently, with many people citing concerns about regulation and volatility as reasons for the sell-off. The most popular currencies including Bitcoin, Ethereum, and other altcoins are trading at a price level that might present a buying opportunity. In this blog, we will be taking a look at Ethereum and attempting to identify whether its the right time to stack some ETHs in your portfolio.
Ethereum Price Facing Wrath of Bears
Looking at the price performance of Ethereum since the past month, the level has dropped by almost 30%. It could be also noted that the world’s second-largest cryptocurrency started to face selling pressure before the whole collapse of FTX came to public attention. After Ethereum faced a nosedive to the price level of $1100, it quickly bounced back to $1300 but was unable to maintain sustainblity. Currently, the CMP of ETH is around $1120 with market cap of $137 billion and volume traded of $24 billion in past 24 hours.
Ethereum Technical Analysis
The technical chart of Ethereum highlights on the signifcant downfall faced forcing the price level to break below the 0.236 FIB level on couple of occassions. Currently, ethereum price has formed a falling channel pattern from which it looks potential to have a positive breakout with a strong bullish candle. Considering the technical indicators, RSI level is avoiding a negative breakdown towards the oversold region and currently showcasing positive nature on the chart. The MACD level is still forming red bars on the histogram but looks potential to have a positive crossover which can provide positive momentum in the near term.
Considering the current market conditions, it could be said that Ethereum can head in both the ways. The fundamentals of market are still being tested and we are hearing critical news on every single day from FTX aftermath to the rumours of Genesis’s bankruptcy. Therefore, it might be relevant for investors to have bullish sentiment once the bloodbath and bankruptcy wave is settled in the market. For current scenario, Ethereum is having support levels at $1050 and $900 respectively. On the upside, resistance levels can be placed at $1200 and $1300, respectively.