{"id":658651,"date":"2024-12-07T09:30:18","date_gmt":"2024-12-07T09:30:18","guid":{"rendered":"https:\/\/uniquehot.com\/?p=658651"},"modified":"2024-12-06T18:11:38","modified_gmt":"2024-12-06T18:11:38","slug":"sell-pressure-rises-as-ethereum-tests-4000-resistance-whats-next-for-eth","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/ethereum\/sell-pressure-rises-as-ethereum-tests-4000-resistance-whats-next-for-eth\/","title":{"rendered":"Sell Pressure Rises As Ethereum Tests $4,000 Resistance\u2014What\u2019s Next For ETH?"},"content":{"rendered":"

After months of struggling below the $4,000 price mark, Ethereum finally breached this notable resistance level on December 6, with a current trading price of $4,003, increasing by 2.7% in the past day.<\/p>\n

However, while this milestone has generated optimism among investors, market metrics indicate potential risks of profit-taking and corrections.<\/p>\n

Related Reading: Ethereum Crosses $3,800: Is The \u2018God Candle\u2019 Nearing? Analysts Weigh In<\/a><\/div>\n

Another Major Correction Incoming?<\/h2>\n

A CryptoQuant analyst known as ShayanBTC has recently shared insights<\/a> into Ethereum\u2019s futures market behavior, highlighting a key indicator that suggests caution<\/a> might be warranted.<\/p>\n

According to the analyst, Ethereum’s Taker Buy\/Sell Ratio, a critical metric for analyzing market sentiment, has shown a substantial increase in sell-side activity. This development aligns with Ethereum\u2019s approach to the $4,000 resistance level.<\/p>\n

The metric, which measures the aggressiveness of buyers versus sellers in futures markets, reveals that sellers increasingly dominate trades as the price edges upward<\/a>.<\/p>\n

Shayan disclosed that Ethereum\u2019s futures market participants appear to be locking in profits or preparing for a potential price correction.<\/p>\n

The Taker Buy\/Sell Ratio has reached its lowest point<\/a> in several months, indicating that market participants are leaning toward a risk-off stance.<\/p>\n

\"Ethereum
Ethereum Taker Buy\/Sell Ratio. | Source: CryptoQuant<\/figcaption><\/figure>\n

This trend suggests that the aggressive futures market sell orders could slow Ethereum\u2019s upward momentum, paving the way for a potential pullback<\/a> or consolidation phase.<\/p>\n

The analyst particularly wrote:<\/p>\n

\n
\n
The drop in the Taker Buy Sell Ratio implies a possible slowdown in upward price movement as more market participants take a risk-off approach. This aligns with anticipating a price pullback or a correction phase, making it crucial for traders to monitor the futures market for further developments.<\/div>\n<\/blockquote>\n

What Next For Ethereum?<\/h2>\n<\/div>\n
\n
\n
At the time of writing, Ethereum still hovers above $$4,000, up by 3.1% in the past day. This price increase has boosted ETH’s market cap above $482 billion as of today and its daily trading volume to roughly $56.7 billion.<\/div>\n<\/div>\n<\/div>\n
<\/div>\n
\n
\"Ethereum
ETH price is moving upwards on the 2-hour chart. Source: ETH\/USDT on TradingView.com<\/a><\/figcaption><\/figure>\n<\/div>\n
Notably, the drop in the Taker Buy\/Sell Ratio highlighted by Shayan reflects an overall cautious sentiment among futures market participants, often a precursor to heightened market volatility.<\/div>\n
<\/div>\n
\n
Related Reading: Ethereum To Pull A BTC 2021-Like Rally? Analyst Shares Massive Prediction<\/a><\/div>\n<\/div>\n
<\/div>\n
While this does not necessarily signal the end of Ethereum\u2019s rally, it highlights the importance of closely monitoring market developments<\/a>. Should the selling pressure intensify, Ethereum may experience a price correction, offering opportunities for new entrants or long-term holders to accumulate at lower levels.<\/div>\n
<\/div>\n
Meanwhile, from a technical perspective, ETH might be on the verge of a major rally as it recently formed a golden cross (50DMA and 200DMA) on its price chart.<\/div>\n
\n
\n

$ETH<\/a> goldencross (50DMA and 200DMA) has occured!<\/p>\n

Last time this happened, #Ethereum<\/a> was still in consolidation stages of the bearmarket but it still went +129%<\/p>\n

In the 2021 bullmarket, the last goldencross took #ETH<\/a> +2,323% pic.twitter.com\/Wd7GGMc7O4<\/a><\/p>\n

\u2014 venturefounder (@venturefounder) December 6, 2024<\/a><\/p><\/blockquote>\n<\/div>\n

Featured image created with DALL-E, Chart from TradingView<\/div>\n","protected":false},"excerpt":{"rendered":"

After months of struggling below the $4,000 price mark, Ethereum finally breached this notable resistance level on December 6, with a current trading price of $4,003, increasing by 2.7% in the past day. However, while this milestone has generated optimism among investors, market metrics indicate potential risks of profit-taking and corrections. Related Reading: Ethereum Crosses $3,800: Is The \u2018God Candle\u2019 Nearing? Analysts Weigh In Another Major Correction Incoming? A CryptoQuant analyst known as ShayanBTC has recently shared insights into Ethereum\u2019s futures market behavior, highlighting a key indicator that suggests caution might be warranted. According to the analyst, Ethereum’s Taker Buy\/Sell Ratio, a critical metric for analyzing market sentiment, has shown a substantial increase in sell-side activity. This development aligns with Ethereum\u2019s approach to the $4,000 resistance level. The metric, which measures the aggressiveness of buyers versus sellers in futures markets, reveals that sellers increasingly dominate trades as the price edges upward. Shayan disclosed that Ethereum\u2019s futures market participants appear to be locking in profits or preparing for a potential price correction. The Taker Buy\/Sell Ratio has reached its lowest point in several months, indicating that market participants are leaning toward a risk-off stance. This trend suggests that the aggressive futures market sell orders could slow Ethereum\u2019s upward momentum, paving the way for a potential pullback or consolidation phase. The analyst particularly wrote: The drop in the Taker Buy Sell Ratio implies a possible slowdown in upward price movement as more market participants take a risk-off approach. This aligns with anticipating a price pullback or a correction phase, making it crucial for traders to monitor the futures market for further developments. What Next For Ethereum? At the time of writing, Ethereum still hovers above $$4,000, up by 3.1% in the past day. This price increase has boosted ETH’s market cap above $482 billion as of today and its daily trading volume to roughly $56.7 billion. Notably, the drop in the Taker Buy\/Sell Ratio highlighted by Shayan reflects an overall cautious sentiment among futures market participants, often a precursor to heightened market volatility. Related Reading: Ethereum To Pull A BTC 2021-Like Rally? Analyst Shares Massive Prediction While this does not necessarily signal the end of Ethereum\u2019s rally, it highlights the importance of closely monitoring market developments. Should the selling pressure intensify, Ethereum may experience a price correction, offering opportunities for new entrants or long-term holders to accumulate at lower levels. Meanwhile, from a technical perspective, ETH might be on the verge of a major rally as it recently formed a golden cross (50DMA and 200DMA) on its price chart. $ETH goldencross (50DMA and 200DMA) has occured! Last time this happened, #Ethereum was still in consolidation stages of the bearmarket but it still went +129% In the 2021 bullmarket, the last goldencross took #ETH +2,323% pic.twitter.com\/Wd7GGMc7O4 \u2014 venturefounder (@venturefounder) December 6, 2024 Featured image created with DALL-E, Chart from TradingView<\/p>\n","protected":false},"author":580,"featured_media":658658,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[13625],"tags":[134,6664,10923,8323,91844,78803],"class_list":["post-658651","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum","tag-altcoin","tag-crypto","tag-crypto-market","tag-eth","tag-ethereum-market","tag-ethusdt"],"acf":[],"yoast_head":"\nSell Pressure Rises As Ethereum Tests $4,000 Resistance\u2014What\u2019s Next For ETH?<\/title>\n<meta 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A web3 content writer, journalist, and aspiring trader, Edyme is as versatile as they come. With a knack for words and a nose for trends, he has penned pieces for numerous industry player, including AMBCrypto, Blockchain.News, and Blockchain Reporter, among others. Edyme\u2019s foray into the crypto universe is nothing short of cinematic. His journey began not with a triumphant investment, but with a scam. Yes, a Ponzi scheme that used crypto as payment roped him in. Rather than retreating, he emerged wiser and more determined, channeling his experience into over three years of insightful market analysis. Before becoming the voice of reason in the crypto space, Edyme was the quintessential crypto degen. He aped into anything that promised a quick buck, anything ape-able, learning the ropes the hard way. These hands-on experience through major market events\u2014like the Terra Luna crash, the wave of bankruptcies in crypto firms, the notorious FTX collapse, and even CZ\u2019s arrest\u2014has honed his keen sense of market dynamics. When he isn\u2019t crafting engaging crypto content, you\u2019ll find Edyme backtesting charts, studying both forex and synthetic indices. His dedication to mastering the art of trading is as relentless as his pursuit of the next big story. Away from his screens, he can be found in the gym, airpods in, working out and listening to his favorite artist, NF. Or maybe he\u2019s catching some Z\u2019s or scrolling through Elon Musk\u2019s very own X platform\u2014(oops, another screen activity, my bad\u2026) Well, being an introvert, Edyme thrives in the digital realm, preferring online interaction over offline encounters\u2014(don\u2019t judge, that\u2019s just how he is built). His determination is quite unwavering to be honest, and he embodies the philosophy of continuous improvement, or \u201ckaizen,\u201d striving to be 1% better every day. His mantras, \u201cGod knows best\u201d and \u201cEverything is still on track,\u201d reflect his resilient outlook and how he lives his life. In a nutshell, Samuel Edyme was born efficient, driven by ambition, and perhaps a touch fierce. He\u2019s neither artistic nor unrealistic, and certainly not chauvinistic. Think of him as Bruce Willis in a train wreck\u2014unflappable. Edyme is like trading in your car for a jet\u2014bold. He\u2019s the guy who\u2019d ask his boss for a pay cut just to prove a point\u2014(uhhh\u2026). He is like watching your kid take his first steps. Imagine Bill Gates struggling with rent\u2014okay, maybe that\u2019s a stretch, but you get the idea, yeah. Unbelievable? Yes. Inconceivable? Perhaps. Edyme sees himself as a fairly reasonable guy, albeit a bit stubborn. Normal to you is not to him. He is not the one to take the easy road, and why would he? That\u2019s just not the way he roll. He has these favorite lyrics from NF\u2019s \u201cClouds\u201d that resonate deeply with him: \u201cWhat you think's probably unfeasible, I've done already a hundredfold.\u201d PS\u2014Edyme is HIM. HIM-buktu. Him-mulation. Him-Kardashian. Himon and Pumba. He even had his DNA tested, and guess what? He\u2019s 100% Him-alayan. 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