After yesterday’s big selloff in all risk assets, ETH/USD is testing a crucial level at $3000.
The world’s second-largest cryptoasset has already shed 25% of its value this month to trade back to the bottom of August’s $3000-3300 range, and if that level gives way, a deeper pullback toward the mid-2000s could be next.
Thankfully for ETH/USD bulls, the pair is showing tentative signs of support as we publish this, with the daily chart showing a potential “bullish hammer” formation on the daily chart. For the uninitiated, this pattern shows an intraday shift from selling to buying pressure and often marks a near-term bottom on the chart. If that scenario plays out, ETH/USD could be trading back in the mid-3000s before we know it.
With support from the rising 100-day EMA and previous lows at 3000 under threat, the next 24-48 hours will be absolutely critical for ETH/USD.
The world’s second-largest cryptoasset has already shed 25% of its value this month to trade back to the bottom of August’s $3000-3300 range, and if that level gives way, a deeper pullback toward the mid-2000s could be next.
Thankfully for ETH/USD bulls, the pair is showing tentative signs of support as we publish this, with the daily chart showing a potential “bullish hammer” formation on the daily chart. For the uninitiated, this pattern shows an intraday shift from selling to buying pressure and often marks a near-term bottom on the chart. If that scenario plays out, ETH/USD could be trading back in the mid-3000s before we know it.
With support from the rising 100-day EMA and previous lows at 3000 under threat, the next 24-48 hours will be absolutely critical for ETH/USD.