ETHUSD (Ethereum) has been experiencing a downside correction after its short-term uptrend stalled at the 3,590 region last week. Although the 50-day simple moving average (SMA) paused the price’s recent pullback, it seems like the cryptocurrency lacks the necessary momentum to push higher.
The short-term oscillators reflect that bearish forces retain control. The MACD histogram is currently below its red signal line but above zero, while the RSI is hovering beneath its 50-neutral threshold.
Should negative momentum intensify further, the price could challenge the 2,970 region, which overlaps with the 50-day SMA. Piercing through this level, the bears might aim for 2,815 before the spotlight turns to the March strong support region of 2,500. Failing to halt there, further downside moves could reverse at the 2,160 hurdle, which is the lowest price level observed in 2022.
On the flipside, if bullish forces emerge and regain the upper hand, immediate resistance could be met at the 3,300 barricade. Crossing above this region, the price may test its recent reversion point of 3,590 before it ascends towards the September peak of 4,040. A jump above the latter obstacle could turn the spotlight to 4,500.
Overall, even though ETHUSD’s 50-SMA capped its downside move, the cryptocurrency’s technical picture remains negative. Therefore, a dive beneath the 2,970 region could promote a sustained downtrend, while a clear break above the 3,590 ceiling might signal the resumption of the short-term upside trajectory.
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