Key takeaways
- The crypto market recorded losses over the weekend, with ETH briefly dropping below $4,100.
- The leading altcoin could dip below $4k if the bearish trend continues.
Ether dips below $4,100 as the market experiences a massive dip
The crypto market began the new week with a dip, with Bitcoin and other major cryptocurrencies recording losses. Bitcoin, the leading cryptocurrency by market cap, briefly dropped below $112k, resulting in over $1 billion worth of long liquidations within the last 24 hours.
This also saw altcoins record huge losses. Ether, the leading altcoin by market cap, is down 6% in the last 24 hours. ETH briefly dropped below $4,100 but has since then bounced back and is now trading above $4,200 per coin.
Despite the slight recovery, the market conditions remain bearish, and Ether could record further losses in the near term.
The upcoming Powell speech on Tuesday could give traders an indication of the Fed’s policy moving forward following the rate cut last week.
Ether indicators suggest further selling pressure
The ETH/USD 4-hour chart is bearish and efficient, thanks to Ether losing 6% of its value in the last 24 hours. Ether closed above its daily support level at $4,488 on Friday but has been declining since then.
It sharply dipped to $4.067 on Monday but has slightly bounced back and now trades at $4,203 per coin. The RSI of 40 is below the neutral level, indicating strong bearish momentum. The MACD also showed a bearish crossover during the weekend, suggesting a bearish momentum ahead.
If the decline continues and Ether closes below its daily support at $4,232, it could dip toward its next support at $3,593.
However, if Ether holds its price above the $4k level, it could extend its recovery towards the daily resistance at $4,488. An extended bullish condition would allow ETH to hit the $4,633 TLQ level over the next few days.
The market conditions remain volatile, with traders eagerly anticipating Powell’s speech on Tuesday.
