Previous week was the one that brought additional data on PCE, which highly increased the probability that the inflation is still not over in the US, as well as, FED`s further rate increases. The market modestly reverted in order to adjust prices with the expectations. However, the price of ETH was also impacted by the current SEC activities, where they started with tighter control of the crypto industry. In an interview with the New York Magazine, the SEC Chair Gary Gensler noted that ETH might be classified as a security. Also, ETH`s staking coins, which would be released with the Shanghai fork, are already eyed as an issue for regulators if they have not been properly filed with the SEC. There are currently a lot of known unknowns around ETH, which holds its price from the higher grounds and pose certain risks for its future price developments.
ETH started the previous week by testing a $1.7K resistance line. In line with general market sentiment, the price soon reverted to the down side, and lowest weekly level at $1.580, where the coin is finishing the week. RSI also turned to the downside, reaching level of 50, increasing the probability that the investors could now start eyeing the oversold side of the market. On a positive side is that the moving average of 50 days is strongly diverging from its MA200 counterpart, confirming the Golden cross, however, a clear trend reversal is still to come.
As per current charts, there is increased probability for ETH to reach the support line at $1.520 and test it again. At this moment, there is no clear indication that the price might move below this level. On the opposite side, short term resistance at $1.650 might be tested again, with decreased probability that $1.7K might be reached again during the week ahead.
ETH started the previous week by testing a $1.7K resistance line. In line with general market sentiment, the price soon reverted to the down side, and lowest weekly level at $1.580, where the coin is finishing the week. RSI also turned to the downside, reaching level of 50, increasing the probability that the investors could now start eyeing the oversold side of the market. On a positive side is that the moving average of 50 days is strongly diverging from its MA200 counterpart, confirming the Golden cross, however, a clear trend reversal is still to come.
As per current charts, there is increased probability for ETH to reach the support line at $1.520 and test it again. At this moment, there is no clear indication that the price might move below this level. On the opposite side, short term resistance at $1.650 might be tested again, with decreased probability that $1.7K might be reached again during the week ahead.
