Ethereum (ETH) price has dropped over 15% in the last seven days, putting it at risk of falling below the critical $3,000 level for the first time since November 2024. Key indicators like the DMI and EMA lines show a bearish setup, with increasing downward pressure and weakening bullish momentum.
While whale accumulation suggests long-term confidence in ETH, the short-term outlook remains uncertain as the price approaches significant support levels. If the current downtrend persists, ETH could face a deeper correction, but a reversal could pave the way for a recovery toward $3,300 or higher.
ETH DMI Shows a Bearish Setup
Ethereum Directional Movement Index (DMI) shows its ADX currently at 36.9, a drop from 48 just four days ago, indicating a weakening trend strength. Despite that, during this period, ETH price has fallen roughly 6%.
The ADX, which measures trend strength without specifying direction, typically signals a strong trend above 25, with values above 40 indicating a very strong trend.
The DMI further highlights the bearish scenario, with the negative directional index (D-) jumping from 26.3 to 39.5, signifying an increase in bearish pressure. Meanwhile, the positive directional index (D+) has dropped sharply from 20 to 14.2, reflecting weakening bullish momentum.
This widening gap between D- and D+ reinforces ETH’s short-term downtrend. If the ADX continues to fall, it could signal a potential reduction in trend strength, providing some relief for ETH price. However, until D+ shows signs of recovery or D- declines, the price may remain under bearish pressure in the near term.
Ethereum Whales Hit the Biggest Level In 11 Months
Go to Source to See Full Article
Author: Tiago Amaral
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
