Ethereum Crashing: ETH Approaching $3,000 Despite Massive Adoption

Ethereum is selling off when writing, looking at the performance in the daily chart. Even though the uptrend remains, since gains of May 20 weren’t wiped clean, there are cracks developing. These fissures are widening after ETH closed below $3,300 today, confirming yesterday’s losses. If the dump continues, the probability of the coin crashing to as low as $3,000 would be elevated, denting sentiment.

At press time, Ethereum is bearish, breaking below a critical support level. As things stand, Ethereum is down 5% in the last day and week. Since the coin is in red, there have been changes in trend; the coin is sliding on rising participation. Over the last day, the average trading volume rose to over $18 billion. This points to traders flowing in, possibly unloading.

Ethereum Daily Chart for July 4

Traders and investors are monitoring the following Ethereum trending news:

  • GTA 6, the popular video game, reports show that it will support other crypto assets apart from BTC, ETH, and USDT. The expansion of the number of coins accepted is a huge boost as far as adoption is concerned.
  • Circle and Paxos are now regulated in the European Union, compliant with MiCA laws. Meanwhile, Société Generale, one of the largest banks in France, is launching its stablecoins on Ethereum. More TradFi companies are choosing the first smart contracts platform over modern solutions like Solana.

Ethereum Price Analysis

ETH/USD is under immense selling pressure, looking at the performance in the daily chart.

With the drop of July 3 and early today, every high below $3,300 could offer entries for aggressive sellers targeting $3,000 in the short term.

Since the drop was comprehensive, the probability of ETH sliding below $3,000 to as low as $2,800 remains elevated.

Notice that the gains of May 20 are yet to be completely erased, giving hope to optimistic Ethereum buyers.

If ETH unexpectedly picks up momentum, winding up recent gains, and breaks $3,500, it would be a huge boost for bulls.

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Dalmas Ngetich
Dalmas Ngetich
Technical Analyst and News Reporter
Dalmas is a technical analyst and news reporter covering Forex, commodities, crypto, NFTs, blockchain, DeFi, and blockchain.
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