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Ethereum (ETH/USDT) Faces Sell Pressure Below $4,000 Amid Decreasing Momentum

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Ethereum (ETH/USDT) Faces Sell Pressure Below $4,000 Amid Decreasing Momentum

The market for Ethereum against Tether has faced a 2.6% decline in price in the last 24h, with indicators signaling bearish moves after the Federal Reserve cut failed to boost the token. As it stands, Ethereum trading volume has risen above 5% in the last 24 hours, indicating increasing sell pressure as the price drops below the previous $4,107 support level with neutral stochastic RSI.

To this end, the pair appears to have encountered critical resistance around $4,200, testing towards the $3,800 support level close to the long-term moving average.

Currently, Ethereum trades at $3,797.01 with more than 312 thousand volumes for the day as bearish impact increases.

Ethereum (ETH/USDT) Faces Sell Pressure Below $4,000 Amid Decreasing Momentum
ETHUSDT-Daily Chart

Technical Indicators

Major Resistance Levels: $4,000, $4,100, and $4,200

Major support levels: $3,800, $3,600, and $3,500

Technical Analysis

On the daily timeframe, Ethereum against Tether appears to be facing strong bearish pressure after failing to maintain a grip above $4,000. The pair value seems to be operating under critical moving averages as the stochastic heads south, indicating an increasing bearish presence.

As it stands, the price is still below the lines of the moving averages with a close to oversold stochastic oscillator, which suggests that the downward pressure might continue if the pair fails to reclaim higher levels.

To this end, a continued fall in the value of Ethereum may result in testing of the $3,500 support level unless the bulls are able to push the price above $3,900 again.

Meanwhile, @Tedpillows in a post on X (formerly Twitter) has described the nature of Ethereum’s fall; the analyst explains the token has fallen below its $4,000 psychological level once again despite the 25 bps FED rate cut. However, the analyst is of the belief that this might possibly be a bear trap move or potential decline.

ETH/USDT Analysis: Will the Price Reclaim $3,900

Technically, on the 4-hour chart, ETH/USDT appears to be facing further bearish pressure as the token appears to be deeply oversold, as sentiment signals continuation of the downtrend.

As it stands, the price is still operating under the $4,000 psychological support with decreasing volume, which hints at a lack of bullish interest at the moment.

To this end, a further bearish-inclined move will lead to the retest of $3,500, while a move above the $3,900 resistance level would indicate recovery.

Ethereum (ETH/USDT) Faces Sell Pressure Below $4,000 Amid Decreasing Momentum
ETHUSDT-4H Chart

 

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