Bitcoin may struggle to rebound over $41,000, Ethereum is experiencing difficulties, and ADA has broken through a critical support level on the daily chart.
Crypto markets have essentially erased all of their gains achieved during a strong run in late March due to recent losses. From a peak of $3,550 earlier this month, ETH has dropped as much as 20 percent.
This week, Ethereum fell along with the rest of the crypto market, owing to concerns about slowing economic growth and rising inflation. The coin, on the other hand, looks to be trading in a bullish technical pattern, which, if confirmed, might result in a price rebound.
Ethereum should hold above this level
The coin was retesting an ascending triangle top to construct a new support level, which is just above $3000, according to crypto expert rektcapital. If the token can hold above the level for an extended amount of time, it could indicate a price breakout and ultimate price recovery.
An ascending triangle is a bullish pattern that indicates that a currency is poised for a breakout. The breaking level for ETH would be around $3030. However, because Bitcoin had lately failed to confirm its own ascending triangle breakout, the analyst believed it was probable that ETH would as well.
In a week, ETH fell 14% to about $3,019, briefly dipping below the critical $3000 mark. In March, the token saw significant increases in anticipation of a switch to a proof-of-stake (PoS) scheme later this year.
Institutional investors are likely to flock to the coin as a result of the switch to a PoS mechanism, which might spark another rise this year. However, for the time being, ETH must battle with fluctuating market dynamics.
At the time of writing ETH is trading inches above the $3000 mark and Bitcoin is trading below the crucial $40,000 mark.