On Wednesday, Ethereum (ETH) lost all this week’s gains. Since Tuesday, its price has declined 3.78% and reached 2,008.58 on Wednesday. On Thursday, the opening price was 2,032.32.
The rise in quotes was driven by positive news about Trump Media and Crypto.com partnership, which sparked the growth of the crypto market. It was reported on March 24 that Trump Media & Technology Group entered into a partnership with Crypto.com in order to launch exchange-traded funds (ETF) and exchange-traded products (ETP). New exchange-traded funds are to include cryptocurrencies as well as US stocks.
The optimism was also fueled by reports of possible tariff relief by Donald Trump. However, initial price growth did not last long, and the market soon returned to correction.
On Tuesday and Wednesday, ETH was moving sideways. The general slowdown in the market might be the result of investors being cautious.
Despite this, analysts remain long-term optimistic, forecasting the ETH price to climb above $6,000 in 2025 due to increased demand for layer-2 solutions and growing interest from institutional investors.
Investors are now awaiting the release of new economic data, including Michigan consumer sentiment, which might hint further direction of the market. With US GDP data expected on Thursday and US inflation data on Friday, market sentiment could change depending on these reports.
As of March 27, the Stochastic oscillator indicates a possible bullish reversal, since %K and %D lines are close. The blue line (%K) slowing down and approaching the red line (%D) also confirms a possible change in market dynamics.
The MACD indicator is negative, pointing to the downward trend of the market. The rate of decline is decelerating, but the main trend remains downward. No clear signs of reversal have been observed so far.
Current recommendation:
Buy at the current price. Take profit – 2,215. Stop loss – 1,910.
This content is for informational purposes only and is not intended to be investing advice.
