The course of Ethereum (ETH), one of the leading altcoins, has fallen to a minimum since March 2023, which indicates a decrease in market confidence. This happened against the backdrop of a general recession aggravated by the day of the liberation of Donald Trump
We figure out what is happening on the Ethereum (ETH) market and what to expect from the price of cryptocurrency.
ETH/BTC ratio has reached a minimum in 5 years
The fall in the price of ETH led to the fact that the ratio of ETH/BTC dropped to 0.019 – the lowest level over five years. This indicator reflects the cost of ETH in relation to BTC. If the value grows, this means that ETH overtakes the BTC-either due to a faster growth, or due to the fall of the bitcoin course.
The current decline shows that bitcoin strengthens the position compared to leading altcoin. This suggests that traders transfer capital to BTC, considering it a safer or profitable asset, despite the problems with the price.
In addition, on the daily graph, the negative indicator of Chaikin Money Flow (CMF) confirms the fall in demand for ETH. At the time of publication, it is −0.07.
The CMF indicator evaluates the accumulation and distribution of the asset for a certain period, helping to determine the pressure of customers and sellers. If the value is lowered below zero, as it is now, it signals the dominance of bears.
ETH CMF indicators say that traders more often sell a coin than accumulate. This reflects a decrease in demand and serves as a bear signal for the price dynamics of the asset.
ETH Forecast: Wait for a rebound
The relative force index (RSI) ETH shows that altcoin is now resold. At the time of publication, the indicator is in a descending trend at 25.62. This creates an opportunity to buy, as such minimums are often accompanied by price restoration.
In this case, the ETH rate can return above $ 1,589. If the support level is strengthened, this can push the price to $ 1,904.
However, the rebound is not guaranteed. If the bears continue to dominate and sales intensify, the price of the coin can decrease to $ 1 197.
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Source: Cryptocurrency
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