Ethereum

The crypto market is experiencing a pullback after <a href="https://www.newsbtc.com/press-releases/bitcoin-recovery-will-ignite-massive-crypto-rally/" target="_blank" rel="noopener ">Bitcoin</a>, the leading cryptocurrency, reached a new all-time high. However, Ethereum (ETH) is not left out in this downward move. 
After setting a new yearly high of $4,094, the price of Ethereum has been moving downward and this has led to the price trading below the 100-day Moving Average (MA) both in the 1-hour and 4-hour timeframes, but this is not so in the daily timeframe.&nbsp; 
Will the price continue downward or will it change direction and start moving upward? At the time of writing, Ethereum’s price was trading around $3,360 and was up by 0.64% in the last 24 hours. 
<h2 id="ethereum-indicators-and-what-they-suggest">Ethereum Indicators And What They Suggest</h2> 
Looking at the chart, technically we can see that a support level of $3,067 and a resistance level of $3,681 and $3,591 have been formed respectively. Nonetheless, there could be more support and resistance created if the price continues to move downward. 
4-Hour Moving Average: A technical observation of the chart from the 4-hour timeframe as seen in the image below reveals that the price is trending below the 100-day <a href="https://www.newsbtc.com/analysis/ethereums-moving-averages-point-to-bullish-continuation-with-a-1000-target/" target="_blank" rel="noopener ">moving average</a>. This suggests that the price is on a downtrend and could potentially move further downward. 
<img loading="lazy" decoding="async" class="size-medium wp-image-599333 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=460&amp;resize=460%2C273" alt="Ethereum" width="460" height="273" srcset="https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=2273 2273w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=460&amp;resize=460%2C273 460w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=768 768w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=860 860w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=1536 1536w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=2048 2048w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=750 750w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-57-27.png?w=1140 1140w" sizes="(max-width: 460px) 100vw, 460px" data-recalc-dims="1"> 
&nbsp;4-Hour RSI indicator: With the help of the <a href="https://www.newsbtc.com/analysis/eth/ethereum-price-momentum-reignites-2200/" target="_blank" rel="noopener ">Relative Strength Index indicator (RSI)</a> we can see the RSI signal line is trending below the 50 line. This is a strong indication that the price of Ethereum is in a downward trend as observed in the image above. 
MACD Indicator: Taking a close look at the MACD indicator in the 4-hour timeframe, it appears that the MACD histogram has dropped below the zero line. In addition, both the MACD line and the signal line have crossed below the zero line.&nbsp; 
This setup indicates that the price is still bearish and there are possibilities that it could still move downward. The image below provides more details: 
<img loading="lazy" decoding="async" class="size-medium wp-image-599334 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=460&amp;resize=460%2C256" alt="Ethereum" width="460" height="256" srcset="https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=2273 2273w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=460&amp;resize=460%2C256 460w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=768 768w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=860 860w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=1536 1536w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=2048 2048w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=750 750w, https://www.newsbtc.com/wp-content/uploads/2024/03/ETHUSDT_2024-03-23_11-58-50.png?w=1140 1140w" sizes="(max-width: 460px) 100vw, 460px" data-recalc-dims="1"> 
<h2 id="possible-outcome">Possible Outcome</h2> 
If the price of <a href="https://www.newsbtc.com/analysis/eth/ethereum-price-signals-uptrend-3580/" target="_blank" rel="noopener ">Ethereum</a> continues downward and breaks below the support level of $3,067, it could move further downward to create a new support level. However, if the price fails to break below this support level, we could see a price reversal and may start a fresh trend upward. Thus there could be a possibility that the price could break above the resistance levels of $3,681 and $3,591 respectively, and continue its bullish run.

Ethereum Drops Below The 100-Day Moving Average – What’s Next?

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