Key Takeaways
- ETH has risen nearly 2% in the last 24 hours and is trading above $3,600.
- Technical indicators show signs of weakening momentum, suggesting possible downward pressure on the coin.
ETH Holds Above $3,600 While BTC Pulls Back
The cryptocurrency market has been volatile in recent hours, with Bitcoin slipping below the $116,000 level. Bitcoin lost nearly 2% of its value and risks sliding under $115,000 if selling pressure continues.
Ether, the second-largest cryptocurrency by market capitalization, is in positive territory after gaining more than 1% over the past 24 hours, pushing past the $3,600 mark.
However, several technical indicators point to weakening momentum, and ETH could face a corrective move. On higher timeframes the trend remains bullish, indicating buyers still retain control overall.
ETH Could Revisit $3,000 If Downtrend Persists
The ETH/USD 4-hour chart remains relatively bullish as Ether outperforms Bitcoin and some other major cryptocurrencies. Price action has been orderly, suggesting ETH could be preparing for another upward leg.
That said, lower-timeframe indicators have turned more bearish, signaling a potential upcoming sell-off. ETH failed to hold near the daily resistance area around $3,730 and slipped below $3,600.
The pair has since reclaimed the $3,600 level. If Ether closes a daily candle below $3,500, a deeper correction could unfold, possibly retesting the psychological $3,000 support zone.
The Relative Strength Index around 49 indicates bulls are losing some control, pointing to waning upward momentum.
Additionally, the MACD is converging and the green histogram bars are shrinking, which further supports a growing downside bias.
On the flip side, a daily close above $3,500 would keep bullish prospects intact and could allow buyers to push prices higher in the near term. In that scenario, ETH may retest the $3,730 resistance in the coming hours or days before targeting the psychological $4,000 level.