A week full of not so good fundamentals has driven the price of ETH to the lower grounds. The coin was testing a $1.5K support line during the previous week and moved the price down from $1.7K level, where it was traded previously. Such a strong drop came after a news was released that SEC is pushing crypto companies to comply with regulation within a field of staking products. Kraken exchanger was the first to be penalised with a $30 million by SEC, while the market is expecting for Ethereum to be the next on the list. On the other hand, Ethereum passed a Zhejiang test network, while there are two more to be passed before final Shanghai hard fork in March. These upgrades are related to staking ETH`s which will finally be available to its holders for free use.
During the week the RSI moved below level of 50, reaching level of 44, which is an indication that the market is currently eyeing the oversold side. This might also indicate that the price will have some volatility in the coming period before the clear overbought market is reached. Most important development, when it comes to the technical analysis, is a final formation of the Golden cross, when the MA50 line crosses MA200 from the downside. The formation is still in its early stage, which will take a couple of more days to be confirmed on the charts. However, it represents a sort of relief for technical analysts as it indicates high potential for a trend reversal. After a crypto winter during the whole 2022, this might be treated as a very positive sign.
Support line at $1.5K managed for one more time to withhold the market pressure. ETH will start the week ahead by testing this line to the downside. In case of more negative news from the SEC, there is some probability that the price might prop to the level of $1.450, based on current charts. On the opposite side, levels of $1.600 up to $1.650 might be tested again.
During the week the RSI moved below level of 50, reaching level of 44, which is an indication that the market is currently eyeing the oversold side. This might also indicate that the price will have some volatility in the coming period before the clear overbought market is reached. Most important development, when it comes to the technical analysis, is a final formation of the Golden cross, when the MA50 line crosses MA200 from the downside. The formation is still in its early stage, which will take a couple of more days to be confirmed on the charts. However, it represents a sort of relief for technical analysts as it indicates high potential for a trend reversal. After a crypto winter during the whole 2022, this might be treated as a very positive sign.
Support line at $1.5K managed for one more time to withhold the market pressure. ETH will start the week ahead by testing this line to the downside. In case of more negative news from the SEC, there is some probability that the price might prop to the level of $1.450, based on current charts. On the opposite side, levels of $1.600 up to $1.650 might be tested again.
