Sellers lose confidence in the sell-off as the volume decreases.
Ethereum attempted to break out of the channel but retraced back.
After a strong start to the week, the price of Ethereum fell back on Thursday. ETH had a sluggish start to the European session and retraced to the day’s low. The price is hovering around the $2,600 level in the current market.
Sellers lose confidence in the sell-off as the volume decreases and the price decreases. A few technical forms do not, however, support the preceding claims. Ethereum’s price stabilises around $2,600 on the 4-hour chart, signalling that this is an important trading level.
ETH/USDT: Source: TradingView
Since March 2, the price of Ethereum has been trading inside a downward trend from its high of $3,045.00. After a 20% decline, the price dropped to $2,449.85. Ethereum attempted to break out of the channel but retraced back to the upper trend line after failing to break out of it. For investors to believe in the breakthrough, the price of $2,600 must stay unchanged for the time being.
Anticipation of Ethereum 2.0
Some investors are apprehensive about speculative assets like cryptocurrency because of rising inflation and the Federal Reserve’s plans to increase interest rates this month. A proof-of-stake method will be implemented on the Ethereum blockchain soon, making it quicker, more efficient, and less expensive than it is presently.
As a result, the Ethereum mining process will be ramped up, and transaction fees will decrease. Blockchains competing with the likes of Bitcoin and Litecoin might benefit from this improved version, Ethereum 2.0. According to CoinMarketCap, the Ethereum price today is $2,596.70 USD with a 24-hour trading volume of $13,711,357,757 USD. Ethereum has been down 5.49% in the last 24 hours.