Cryptocurrency Ethereum lost 11% in a week

Ethereum ETH $2,920.16 Bridged Ether (StarkGate) -0.92% Market capitalization $69.82 million VOL. 24 hours $0.88 billion continues to be under pressure after a sharp drop over the past week — the price of the second largest crypto asset by capitalization fell by 11%, dropping below $ 3,000. At the time of publication, ETH is trading around $ 2,940, demonstrating a clear downward breakout after a failed attempt to gain a foothold above $ 3,200 at the beginning of the month. The drop indicates the formation of a steady bearish trend, while the market remains volatile.

After a failed attempt to stabilize above the key $ 3,200 level, Ethereum lost ground sharply, dropping to the $ 2,900 zone, where it is currently consolidating. According to ETHNews, market sentiment remains pessimistic, with the Fear and Greed Index dropping to 16 points, in the «extreme fear» zone. This indicates that investors are not yet ready to actively return to risky assets.

The technical picture also looks weak. The price of ETH remains below its 50-day and 200-day simple moving averages, which are at $ 3,189 and $ 3,393, respectively. Trading below these long-term lines usually means seller dominance and limits the potential for a short-term recovery.

Momentum indicators show mixed signals: the 14-day Relative Strength Index (RSI) is 42.7, which is the neutral zone, and volatility is estimated at 4.55%. Over the past 30 days, Ethereum has had 15 «green» trading sessions, indicating volatility and the lack of a clear uptrend.

Despite the general weakening, analysts note the possibility of a short-term rebound to $ 3,290, which corresponds to a potential increase of about 11.6%. However, this scenario is only possible if the overall market situation improves. So far, sellers are keeping control of the market, and Ethereum remains under pressure, reacting to the overall cooling of the cryptocurrency sector.