Ethereum

bullish

Bitcoin

Momentum

<ul class="wp-block-list"> 
 <li><strong>Ethereum struggles to break resistance despite rising speculative trading activity.</strong></li> 
 <li><strong>Market sentiment remains bearish, limiting Ethereum’s recovery.</strong></li> 
</ul> 
<p>Ethereum (ETH) continues to grapple with resistance levels while Bitcoin (<a href="https://thenewscrypto.com/are-bitcoin-whales-accumulating-as-price-progresses-to-94k/" target="_blank" rel="noreferrer noopener">BTC</a>) surpasses expectations, recently hitting $93,905. Ethereum, on the other hand, has failed to break above $3,300. It is currently trading at $3,110, down 0.79% in the past 24 hours. Its trading volume has also dropped by 23%, signaling weak momentum.&nbsp;&nbsp;</p> 
<p>Technically, Ethereum has held support above $3,000. The price briefly surpassed $3,120 and $3,150, climbing to $3,224 before facing rejection. It has since retraced, falling below the 23.6% Fibonacci retracement level of its recent move from $3,051 to $3,224.&nbsp;&nbsp;</p> 
<p>Currently trading above $3,112 and the 100-hour Simple Moving Average (SMA), <a href="https://thenewscrypto.com/ethereum-eth-faces-consolidation-after-reaching-3-4k/" target="_blank" rel="noreferrer noopener">ETH</a> faces resistance at $3,220 and $3,250. A breakout above $3,250 could drive the price to $3,320 and $3,450. However, failure to clear $3,220 may lead to a decline toward $3,140 and $3,050. A break below $3,050 could push ETH to $2,940 or lower.&nbsp;&nbsp;</p> 
<p>Meanwhile, despite bearish sentiment, speculative activity around Ethereum is at its highest in months.&nbsp;</p> 
<h3 class="wp-block-heading" id="h-ethereum-to-face-more-downside">Ethereum To Face More Downside?</h3> 
<p>Data shows reserves on derivative exchanges have reached 11.28 million ETH, marking a one-year high. This indicates increased leveraged trading as traders position for future price movements. Open interest has also surged to $18.31 billion, reflecting a $4 billion increase this month. Positive funding rates suggest traders maintain a bullish outlook.&nbsp;&nbsp;</p> 
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  <img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcdpQuNfnpwWj8Bz-2mljeyMmL3yjOwbG3xNYGxBRzv5ZnhAashM5gXOsXUug1qtzk2mzzjnlANV4J1DJSH0pFhjMF0XT5SyCwZFg_4R-j3DwHnqK2vpOVDw6C3F_1nDvCvF0gd?key=6boXeHvt2HFd_9DCXcdWdV1H" alt="">
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<p>However, market sentiment remains broadly bearish, dampening demand and limiting Ethereum’s <a href="https://coinmarketcap.com/currencies/ethereum/" target="_blank" rel="noreferrer noopener nofollow">recovery</a> potential. Rising leveraged positions also heighten the risk of volatility due to forced liquidations.&nbsp;&nbsp;</p> 
<p>In conclusion, Ethereum remains at a crossroads, supported by speculative interest but weighed down by weak demand. Key <a href="https://in.tradingview.com/chart/EJXIwxE9/?symbol=BINANCE%3AETHUSDT" target="_blank" rel="noreferrer noopener nofollow">resistance</a> levels at $3,220 and $3,250 will be critical for its short-term trajectory. Until then, Ethereum will likely remain in consolidation, with downside risks intact.</p>

Can Ethereum Break Free from Its Consolidation Phase?

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TheNewsCrypto

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