What Next for ETH After the Weekend Rally?
The Ethereum price is tilting lower today as investors book profits from their weekend gains. The ETH is trading at $1,692, which is slightly below the weekend high of $1,730. Its market cap has dropped to $195 billion, according to data compiled by Investing.com.
What happened: Ethereum and other digital currencies rallied during the weekend as investors rushed to buy the dip. In total, the digital currency rose by 10% from the Friday low of $1,546 to $1,730.
Still, the Ethereum network is still under pressure as transaction costs continues to rise while the Decentralized Finance industry seems to be peaking. In total, the total value locked (TVL) in the network has dropped to $40.6 billion from an all-time high of $45 billion. Also, the Ethereum network is facing a substantial competition from the likes of Polkadot and Solana. Still, it holds a substantial market share in the application development industry.
Ethereum price prediction
The four-hour chart shows that the ETH price reached a high of $1,946 on March 13. It then formed a horizontal channel whose support was at $1,723. Last week, it declined to $1,547, the lowest level since March 6.
Today, it is slightly below the lower side of the rectangle pattern. It is along the 25-day and 15-day exponential moving averages (EMA). Further, it is between the second and first support of the Andrews pitchfork tool.
Therefore, the ETH price will remain in a bearish trend so long as it is below the median line of the pitchfork at $1,800.
ETH price chart