- Ethereum price is not out of the woods yet as a bearish target continues to be on the radar.
- A key technical indicator suggests that there are more sellers than buyers in the market.
- Ethereum may still face multiple obstacles if buyers enter the market.
Ethereum price has rebounded after the recent drop on February 24 while Russian President Vladimir Putin kickstarted its invasion of Ukraine. Despite the optimism in the market, several indicators suggest that ETH is not out of the woods yet.
Ethereum price test critical levels of support
Ethereum price has fallen below the rising wedge on the 12-hour chart on February 18, putting a 28% drop toward $2,055 on the radar.
Ethereum price slumped to a swing low of $2,301 on February 24 and recovered by 13% following US President Joe Biden’s announcement of new sanctions on Russia.
However, the Arms Index (TRIN) which gauges overall investor sentiment suggests that there are still more sellers in the market than buyers.
The first line of defense for the buyers will appear at the 61.8% Fibonacci retracement level at $2,615, then at the 78.6% Fibonacci retracement level at $2,398.
ETH/USDT 12-hour chart
Ethereum price may slump lower toward the January 22 low at $2,300 before eventually reaching the January 24 low at $2,160.
An additional spike in sell orders may push Ethereum price toward the pessimistic target at $2,055.
However, if buying pressure increases, Ethereum price may target the 21 twelve-hour Simple Moving Average (SMA) at $2,773 next.
If buyers continue to enter the market, Ethereum price will aim for $2,851 next, where the 50 twelve-hour SMA, 100 twelve-hour SMA and 38.2% Fibonacci retracement level intersect.
An increase in bullish sentiment may incentivize the buyers to reach the 23.6% Fibonacci retracement level at $3,015 before attempting to reach the resistance line given by the Momentum Reversal Indicator (MRI) at $3,139.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery
![Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/Coins/Ripple/Ripple_Coin_31_02_XtraSmall.jpg)
Ripple made a comeback above $0.48 on Tuesday and hovers above that level in Wednesday’s European session. Ripple on-chain metrics such as transaction volume and Network Realized Profit/Loss have turned bullish, supporting a recovery in the altcoin.
Bitcoin price falls amidst German government transfers, miners activity
![Bitcoin price falls amidst German government transfers, miners activity](https://editorial.fxstreet.com/images/Markets/Currencies/Digital%20Currencies/Bitcoin/bit-coin-symbol-flag-3d-illustration-59931110_XtraSmall.jpg)
Bitcoin (BTC) extends correction on Wednesday and hovers around $61,000 after finding resistance near the $64,000 level on Monday. Recent on-chain data indicates heightened selling activity from Bitcoin miners early in the week.
Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds
![Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds](https://editorial.fxstreet.com/images/Markets/Currencies/Digital%20Currencies/Bitcoin/Bitcoin_2_XtraSmall.jpg)
Bitcoin wipes out gains from the last week of June and falls below $60,000 on Wednesday. Ethereum and top altcoins ranked by market capitalization erased gains as the inflation outlook worsened. Ripple holds on to recent gains and hovers above $0.48 on Wednesday.
Three reasons why altcoins could shake off losses this week
![Three reasons why altcoins could shake off losses this week](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/cryptos_XtraSmall.jpg)
On-chain data from Santiment shows that altcoins are currently in the opportunity zone, or generating buy signals. The top three altcoins in the buy zone are Basic Attention Token (BAT), Chromia (CHR), and Highstreet (HIGH), per Santiment.
Bitcoin: BTC price correction could end in July, according to seasonal data
![Bitcoin: BTC price correction could end in July, according to seasonal data](https://editorial.fxstreet.com/images/Markets/Currencies/Digital%20Currencies/Bitcoin/bitcoin_5_XtraSmall.jpg)
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.