Ethereum Holds 100-Day EMA Amid Bearish Pressure.
Ethereum Holds Support at 100-Day EMA, but a Close Below May Deepen Losses.
FUNDAMENTAL OVERVIEW:
Ethereum remains under sustained bearish pressure as the week concludes, with the price correcting by nearly 12% from recent highs. The broader downtrend has intensified after ETH slipped below key support levels, highlighting weakening market sentiment.
On September 19, Ethereum closed beneath the daily support at $4,488, triggering a 6.77% drop over the following four days, which pushed the price below the next support at $4,232 by Tuesday. The bearish momentum persisted, with ETH falling nearly 7% more over the next two sessions, eventually closing under $3,900.
As of Friday, Ethereum shows a mild rebound, finding temporary footing around the 100-day Exponential Moving Average (EMA) at $3,941. However, the 100-day EMA is now acting as a critical threshold. A daily close below $3,848 could open the door for a deeper slide toward the next key support zone at $3,593, reinforcing the bearish trend.
Conversely, if ETH manages to hold above the 100-day EMA and gathers buying interest, a recovery attempt could target immediate resistance at $4,232. Market participants will likely keep a close watch on macroeconomic cues and broader risk sentiment to gauge Ethereum’s near-term direction.
ETH/USD TECHNICAL ANALYSIS CHART:
Technical Overview:
ETH/USD is trading within a down channel.
ETH/USD is moving below all the Moving Averages (SMA).
The Relative Strength Index (RSI) is in Selling Zone, while the Stochastic oscillator suggests Negative trend.
Immediate Resistance level: 4066.1
Immediate support level: 3724.9
HOW TO TRADE ETH/USD
ETH/USD, after an extended rally, encountered rejection and established a Triple Top pattern, signalling a bearish reversal with a decisive break below a key support zone. Although the pair attempted a recovery, it failed to sustain momentum and resumed its decline. At present, ETH/USD is staging a pullback, testing the upside once again. However, any renewed rejection at higher levels could reinforce selling pressure and drive the pair toward its next major support zone.