Ethereum (ETH) Analysis: Potential Decline Below $2,900 Amidst Trading Volume Drop
Market Activity and Price Decline
Ethereum (ETH) is witnessing a waning bullish trend as its price recently peaked at $3,443 and has corrected down to $3,063. The current 24-hour trading volume stands at $35 billion, reflecting a 25% drop, which suggests a weakening demand as sellers are outpacing buyers.
The bearish momentum indicates that traders lack conviction, which can further inhibit price recovery. Ethereum's open interest has also declined, signaling a lack of new speculative interest as existing contracts are getting closed. This behavior typically surfaces near price peaks as traders decide to secure gains.
Price Prediction: Key Levels to Watch
Currently trading at $3,063, Ethereum hovers just above the support at $2,942. If bullish momentum fails to reemerge, a dip toward $2,787 is plausible. Yet, a market correction paired with renewed demand could propel ETH above $3,162 and towards its cycle peak of $3,443.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.