Ethereum is facing a critical moment where a wedge-shaped descent pattern may occur.If it falls below the current support level, Ethereum may fall to $1491 or even $1360
- Ethereum is facing a critical moment where a wedge-shaped descent pattern may occur.
- If it falls below the current support level, Ethereum may fall to $1491 or even $1360.
- The current price of ETH is S1592.37, with a decrease of 2.57% in the past 24 hours. Among them, the total outstanding amount of contracts across the entire network in the past 1 hour is $12.52 million, with the main outstanding multiple orders and ETH outstanding $3.82 million.
The price trend of ETH in the past few weeks has not been particularly good. After approaching the coveted psychological threshold of $2000, Ethereum prices are facing a sudden surge in supply. This has led to a sharp drop of 19.62% in the past 60 days. This decline leads to a "death crossing" on the daily chart.
The downward wedge pattern formed in the Ethereum price chart exacerbates complexity. Traditionally, this pattern has been seen as a bearish signal, suggesting that the downward trend may continue.
Turning our attention to potential price targets, a bearish collapse may push Ethereum down to $1491, a decrease of 7.5%. If bears maintain their upward trend, Ethereum may further slide to the next support level of $1360.
On the contrary, the redemption path for bulls lies in breaking through the two important resistance levels of $1800 and $2000.
One recent market concern is the FTX plan to liquidate some assets. Although the US trustee has clearly expressed opposition to plans to sell, mortgage, and hedge its digital assets, FTX plans to sell over $3 billion in assets, including 268 million worth of pancakes and 90 million worth of ether, as well as some other mainstream currencies. The market is concerned that this may trigger a decline in the entire market. However, from the current perspective, the possibility of FTX directly selling these assets in the short term is extremely slim. The panic in the market is a bit excessive, after all, the biggest impact of the FTX incident on the market was hitting the price of pancakes to the beginning of 1. Relying solely on FTX to sell remaining assets is difficult to have a greater impact.
From another perspective, if this causes a sharp drop in the entire market, we don't need to be overly afraid because we have previous experience. On the contrary, I am more concerned that everyone may lose their chips at this time, which may be what some people hope to see. However, in the future, it is best not to easily enter the FTX related series of assets. For example, the 680 million worth of SOL assets that FTX plans to sell this time will have a huge impact on the price and circulating market value of SOL. There are many potential risks in the current market, and we don't need to take risks.
According to Etherscan's data, the current gas fee for Ethernet networks has fallen below double digits and has remained at 9gwei for the long term. During the busiest times in the market, the gwei of Ethereum often exceeds three digits. Even in a bear market that has lasted for more than a year, there are very few days of falling below 10gwei. From this, it can be seen that the current activity on the chain has almost dropped to the freezing point, echoing other indicators of the bear market. However, even in this situation, the price of ether did not reach a new low. This to some extent indicates that the usage scenarios of ether have become much more diverse, and at the same time, more people hold it as a value storage currency.
Today's overall market has experienced some downward fluctuations compared to the previous two days, especially in Ethereum. The current market atmosphere is not optimistic, and it is expected that more should be prepared to cope with the downward trend.
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