Following the recent happening in the market over the last 24 hours. Ether is struggling to surge back to its ranging point between $3,600 and $3,900. While the price dip to $3,015 left the coin struggling to break above $3,500.
The uncertainty in the market is evident as the fear and greed index readings are currently at 49; displaying neutrality in the market as there is no greed or fear in it. The current reading is more worrying when compared to the figure (79- extreme greed) that was recorded in the last 24 hours. Adding to this worry is indicators, flashing warning of a looming selloff. One such indicator is the Moving Average Convergence Divergence (MACD).
MACD And RSI
This indicator possesses two lines (the blue and the orange) that intercept to predict the next course of price actions. They both have been on the rise following the largest altcoin when it hit $3,475 for the first time in 90 days on August 21. They converged the following day to indicate buying pressure that lasted through six days.
This time, MACD is converging and indicating a sudden selling pressure on ether. The above chart shows the indicator diverging after giving off a bearish signal.
The Relative Strength Index (RSI) is also displaying the same information as the previously discussed indicator. RSI was once on the rise and in the overbought region. Now, RSI is dipping as the current reading is 50. Amidst the bearish readings, Pivot Point Standard remains positive.
Ether pivot point is at $3,115. As of the time of writing, the coin is trading at a little above $3,300. The price suggests that ETH is still bullish as its trading above its pivot point.
The second-largest coin by market cap is not safe until it crosses its first pivot resistance at $3,800 for it to fully resume its uptrend. The next few days will determine if ethereum will face intense price correction.
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