The waning momentum has been particularly impactful for Ethereum, as it has compounded the weakness that has come about due to its severe underperformance seen as of late.
Bitcoin is beginning to show some signs of strength, however, as it is currently in the process of pushing towards $13,300 following a decline to lows of $12,800 yesterday around this time.
This could create a tailwind that also lifts ETH higher, although it remains unclear whether it will be enough to push the crypto back above $400 – a key level that previously acted as strong resistance.
One analyst is noting that Ethereum must continue showing signs of strength in the near-term, as a descent here could ultimately cause it to plunge by another 10% or more.
That being said, today’s slight climb higher is a positive sign, and there’s a chance that upside is imminent.
Ethereum Pushes Towards $390 as Crypto Market Shows Signs of Strength
Nevertheless, ETH remains below $400, which is a key level that needs to be surmounted for it to see further upside in the days ahead.
Analyst: It’s Do or Die for ETH as It Trades Above Key Level
He notes that a failure to post a sustained bounce at this level could lead to a 10%+ selloff.
Image Courtesy of Smokey. Source: ETHUSD on TradingView.
Featured image from Unsplash. Charts from TradingView.