- ETH increased by more than 6% over the last 24 hour.
- The indicators and metrics of the token turned negative, indicating a correction in price.
Ethereum’s [ETH] Price crossed a crucial level when its value exceeded the $3,700 threshold. AMBCrypto decided to examine its metrics in order to determine whether or not the bullish trend would continue.
Whales don’t back down
According to CoinMarketCapETH’s price has risen by over 6% in just 24 hours. It now exceeds the $3,700 mark. Ethereum’s value was $3,691.87 at the time this article was written, with a $443 billion market cap.
The whale activity around the token remained high, despite the token’s slight price drop. AMBCrypto reported Earlier, we discussed how whale activity increased in recent years. As the whaler transactions count continued to rise, it appeared that this trend was continuing.
Also, the supply held by its top addresses went up last weekend, meaning whales continued to accumulate the token.
Although whale activity was high around the king altcoin, some metrics suggested a possible price correction. CryptoQuant’s price analysis data ETH net deposits were higher than the 7-day average.
Deposits that are higher can be seen as a sign of greater selling pressure. Its Korea premium also turned red, indicating that a selling mood was prevalent among Korean investors.
As the ratio of takers to sellers turned red on the derivatives markets, it was clear that investors in futures were also selling Ethereum.
What should you expect if ETH price drops?
AMBCrypto looked at the liquidation heatmap in order to determine the levels of support. According to an analysis of Hyblock Capital data, ETH is strongly supported near the $3.3k level.
If the price of the token is corrected, it may fall to this level before launching another bull run.
Read more Ethereum’s [ETH] Price Prediction 2024-25
In order to determine the direction ETH may take, we looked at its daily graph. Our analysis indicated that the likelihood of ETH experiencing a price drop was high. The Relative Strength Index for the token entered overbought territory.
Also, the Chaikin Money Flow indicator (CMF), which measures money flow, also showed a decline, increasing the likelihood of a further price drop. The MACD, however, remained bullish for Ethereum because it showed a bullish edge in the market.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
Source: ambcrypto.com