Ethereum’s Price Plunge: A Comedy of Errors in the Crypto Circus! 🎪

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In a turn of events that would make even the most stoic of butlers raise an eyebrow, Ethereum has taken a nosedive of 8% in the last 24 hours, tumbling below the $2,100 mark. This unfortunate plunge can be attributed to the latest US Non-Farm Payroll (NFP) data, which has introduced a delightful new brand of volatility into the market. As a result, our dear ETH finds itself firmly pinned below $2,142, like a hapless fly caught in a web of bearish traders.

Ethereum price dropped below $2,100 on Friday, amid inflation readings in US NFP

Ah, Friday! A day that usually brings joy, but not for Ethereum, which has succumbed to the bearish overlords, exacerbated by the latest NFP report that came in hotter than a freshly baked scone. With rising unemployment raising eyebrows and concerns over persistent inflation, the case for a hawkish Federal Reserve stance has never looked more appealing. One can almost hear the distant chuckles of the bears as they feast on the misfortunes of the bulls.

Ethereum Price Analysis: 4-hourly Chart

Bears eyeing $2,000 on 4-Hour Chart

As we peer into the 4-hour chart, it appears that Ethereum is under a rather heavy cloud of downward pressure, having failed to break past the $2,319 resistance level. The rejection at this key price ceiling has only reinforced the bearish momentum, with candlesticks resembling a series of sad little faces, showing increased selling pressure near the $2,156 pivot. A confluence of technical indicators suggests that a trip down to the $2,000 psychological support level might be on the cards.

The Donchian Channel (DC) highlights this recent price contraction, with the upper boundary at $2,319 and the lower support band at $1,993. Quite the dramatic range, wouldn’t you say?

The failed breakout attempt near the upper band suggests that our bullish friends are lacking the necessary oomph to sustain a move higher, leaving the door wide open for further declines. It’s like watching a valiant knight trying to charge a dragon with a toothpick.

Currently, the price action is hovering around the middle DC line, signaling a state of indecision akin to a butler caught between serving tea or crumpets. However, the tilt is decidedly toward the downside as volume spikes on red candles. The bearish momentum is further evident in the breakdown from the highlighted price cluster, where Ethereum has shed a staggering 7.53% over six consecutive 4-hour candles. Quite the spectacle!

The red zone illustrates a liquidity flush, likely triggering stop-loss cascades from leveraged long positions, adding to the selling pressure. If the $2,156 support fails, Ethereum could slide toward $2,000, aligning with the lower Donchian boundary. On the flip side, a reclaim of $2,200 could reignite bullish sentiment and set up another test of the $2,319 resistance. A classic case of “will they, won’t they?”

Ethereum Price Forecast: Daily time frame chart

Bulls Struggles Below $2,142—Will $2,009 Support Hold?

The Ethereum price forecast signals continue to lean bearish on the 24-hour chart, struggling to hold above the $2,142 level after facing strong resistance at $2,258. It’s a bit like trying to hold onto a slippery bar of soap in a bathtub—quite the challenge!

The latest daily candle reflects increased selling pressure, with ETH losing 2.73% in the session, confirming persistent bearish sentiment. The Keltner Channel (KC) highlights this downside momentum, as the price remains close to the lower band at $2,009, signaling the potential for further declines if the current support structure collapses.

A clear downward trajectory is evident as ETH price has remained below the middle KC line of $2,417, reinforcing the bearish control of market structure. One can almost hear the bears cackling in delight!

The sharp -7.53% drop over a single daily candle suggests that leverage liquidations could be playing a role in accelerating the sell

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2025-03-08 02:45