"Couldn't even reach the 200-day line and broke"...Ethereum, danger of re-exposing March lows

▲ Ethereum (ETH)

Ethereum (ETH) has failed to break through near the downtrend resistance line once again, revealing a warning signal. This rejection holds greater significance as it began to build short-term bullish momentum in April.

According to U.Today, Ethereum faced resistance almost precisely near the upper trendline on the daily chart. The current price is trapped below the 100-day and 200-day moving averages, and after failing to break the downtrend resistance line, the market structure is once again leaning towards bearish.

Buyers failed to hold the 50-day moving average after the price reached the upper resistance. This was interpreted as a signal reflecting a lack of confidence from the bullish camp and weak market participation. The overall structure was also assessed as closer to a bearish continuation pattern rather than accumulation.

Trading volume flow remains unstable. Ethereum continues to make lower highs, and the Relative Strength Index (RSI) is hovering around the low 50s. This was presented as an indicator suggesting weakening momentum rather than strong breakout power.

The key technical variable is the 50-day moving average. After failing to break the resistance line, Ethereum is again being pushed towards the 50-day moving average. If the price clearly closes below the 50-day moving average, bearish pressure could rapidly increase, and there is a possibility that the March lows will be re-exposed.

For Ethereum to regain a true bullish structure, it must recover the downtrend resistance trendline and then convert the 100-day moving average into support. Until then, there remains a risk that all rallies will end as another lower high within a larger downtrend.

U.Today assessed that Ethereum currently appears structurally weaker than Bitcoin, as it couldn't even test the 200-day moving average before sellers regained control. The defense of the 50-day moving average after the breakout failure has emerged as a key point that will determine the short-term trend.

*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*