Technical Indicator Signals Potential Upturn
Ethereum, the second-largest cryptocurrency, has been showing signs of a potential rebound. Analyst Ali has highlighted a key technical indicator, the TD Sequential, which has issued a buy signal on Ethereum’s daily chart. This suggests a possible upward movement in the next one to four candlesticks.
Recent Performance and Market Sentiment
Ethereum has recently seen a 2.3% increase over the last 24 hours. Market sentiment remains largely bullish, with options traders betting on Ethereum’s price increase. Data from Deribit shows a preference for calls over puts, with the most popular strike price being $6,500.
Regulatory Challenges
Despite the positive technical signals, regulatory challenges could influence Ethereum’s trajectory. The potential decline of the spot Ethereum ETF application with the US Securities and Exchange Commission (SEC) is a concern, as the SEC may view ETH as a security, lowering the chances of ETF approval.
Support and Resistance Levels
According to a recent analysis, Ethereum’s failure to breach the $2,925 resistance level could trigger a price decline. Initial support is located near $2,880, followed by major support at $2,860. If Ethereum breaks below $2,810, it could potentially fall towards $2,740 and even $2,650 in the near term.
