Key takeaways
- The crypto market suffered losses over the weekend, and ETH briefly dipped below $4,100.
- If the bearish trend continues, the leading altcoin could fall below $4,000.
Ether falls below $4,100 as market endures sharp downturn
The crypto market opened the new week with a downturn as Bitcoin and several major cryptocurrencies recorded losses. Bitcoin, the largest cryptocurrency by market capitalization, briefly traded under $112,000, triggering long liquidations totaling more than $1 billion over the past 24 hours.
That sell-off also hit altcoins hard. Ether, the top altcoin by market cap, lost roughly 6% in the last 24 hours. ETH briefly slipped below $4,100 but has since bounced back and is trading above $4,200 per coin.
Despite the modest rebound, market conditions remain bearish and Ether may suffer further losses in the short term.
Traders are also watching Fed Chair Powell’s upcoming speech on Tuesday for clues about the Fed’s policy direction following last week’s rate cut.
Ether indicators point to further selling pressure
The ETH/USD 4-hour chart looks bearish and decisive after Ether lost about 6% of its value in the past day. Ether had closed above its daily support at $4,488 on Friday but has declined since then.
The price plunged to $4,067 on Monday before recovering somewhat and is now trading around $4,203 per coin. The RSI sits at 40, below the neutral level, which signals strong bearish momentum. The MACD also produced a bearish crossover over the weekend, suggesting continued downside pressure.
If the decline continues and Ether closes below its daily support at $4,232, the next target could be the support zone near $3,593.
Conversely, if Ether holds above the $4,000 level it could extend its recovery toward daily resistance at $4,488. A more sustained bullish move could push ETH toward the TLQ level at $4,633 in the coming days.
Market conditions remain volatile, and traders are closely awaiting Powell’s remarks on Tuesday.