Ethereum
Why Ethereum is struggling to recover even as Bitcoin surpasses $70,000
- Ethereum was trading in the $3,800 price zone at the time of writing.
- ETH was creating chain support around this level.
Bitcoin [BTC] recently surpassed the $71,000 mark, which generally shifts market attention towards Ethereum [ETH]. Analysis showed that while ETH saw its own rally, it was short-lived.
Ethereum fails to maintain momentum
An analysis of Ethereum on a daily chart revealed a slight positive movement at the end of trading on June 4. The chart shows that ETH saw an increase of over 1%, bringing its price down to around $3,810.
Although modest, the move pushed ETH into the $3,800 price zone for the first time in a few days and marked its first positive move in three days. However, as of this writing, ETH has returned to a negative trend.
Source: TradingView
The analysis showed that despite maintaining the $3,800 price range, Ethereum was trading with a decline of less than 1%.
A study of the Relative Strength Index (RSI) indicated that it remained in an uptrend despite recent poor price performance, with the RSI near 65 at the time of writing.
Additionally, the $3,700 price range appears as the immediate support level as the price has consistently bounced off this level since reaching it.
Ethereum Volume Shows Positive Signs
An analysis of Ethereum volume has shown a recovery since the start of the new month. Initially, the volume fell to around $9 billion, but it gradually increased, recently reaching its highest level this month.
At the end of trading on June 4, volume was around $13.5 billion, and at the time of writing it stood at over $14.6 billion. This increase in volume is a key metric to watch for predicting the potential direction of Ethereum price action.
Source: Santiment
Although the price has not yet increased significantly, the increase in volume indicates increased activity, which could influence price action.
ETH Profits See Slight Increase
Analyse of Ethereum Profit volume revealed an increase of approximately 2 million ETH in the last 24 hours.
Read Ethereum (ETH) Price Prediction 2024-25
According to Feelingat the end of trading on July 4, the number of ETH in profit was approximately 129.5 million.
As of this writing, that number stands at more than 131 million. This increase means that the supply percentage of profit has increased from around 93.4% to over 94%.
Source: Santiment