Is Ethereum (ETH) Destined to Plunge Below $2.4K?

• Ethereum (ETH) remains consolidated within the $2.6K range.
• ETH’s fear and greed index suggests a sentiment of fear in the market.

The overall crypto market displayed mild dips in market cap and trading volume throughout the week. Bitcoin (BTC), the largest cryptocurrency, has stepped into bearish turns, trading below $59K. The largest altcoin, Ethereum, endured a sturdy month, witnessing critical losses with its price dipping to $2.2K.

Notably, ETH witnessed modest price dips in the past day. The daily price chart shows the token’s struggle to keep the price from sliding below $2.5K. ETH managed to trade at $2,512 while recording a 0.81% daily price dip, at press time, according to CMC data.

ETH price (Source: CoinMarketCap)

The price momentum of ETH was observed in the range between $2.6K and $2.7K from last Saturday to the 27th of August. Later, the price slid below $2.6K.

Meanwhile, Ethereum’s market sentiment continues to stay in the fear zone, as the fear and greed index stays at 37. Moreover, the weekly update of Grayscale reveals the top 10 crypto assets by 1-week returns, with Ethereum having secured 4th place this week.

On the other hand, a whale claimed 30,007 ETH, worth $78.67 million, and deposited 24,007 ETH ($61M) to Coinbase over the past three days, retaining 6,000 ETH, valued at $15.16 million. Simultaneously, a new wallet withdrew 21,912 ETH ($55.32M) from Coinbase and staked it in Lido. Over the last 24 hours, Ethereum observed a $17.52 million liquidation as per CoinGlass. Meanwhile, the daily trading volume has plummeted over 23% to $14 billion.

Is a Rebound Possible for ETH?

ETH observed a notable decline of 23.91%, trading at a low of $2,226 over the last month, the downfall continuing over the past week with a 4.38% plunge. The asset’s price has been range-bound between $2,809 and $2,433.

The asset’s daily relative strength index (RSI) is 39.47, slightly closer to the oversold zone in the market. Besides, the daily frame of ETH highlights the bearish state as the short-term 9-day and 21-day moving averages (9MA and 21MA) were noted above the current price at $2,622 and $2,623 respectively.

ETH price chart (Source: TradingView)

Ethereum’s successful breakout at $2.6K could pave the way for ETH to test the initial resistance at $2,696. Conversely, if Ethereum falls below $2.5K, it may enter into and prolong a period of consolidation. This could even push the asset’s price to $2,353.

Disclaimer: The opinion expressed in this chart is solely the author’s. It does not represent any investment advice. TheNewsCrypto team encourages all to do their own research before investing.

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