Ethereum Prices Down for 4th Consecutive Session as ETH Trades Below $1,800
In late Friday, Ethereum again felt the squeeze of the broader crypto market, trading below $1,800 as prices retreated for the fourth straight session.
Despite these minor losses, bearish momentum has prevented ETH from breaking through the $1,800 mark for the past seven days.
After a slow pace in April, inflation rose again in May, which could negatively impact cryptocurrency markets that are already suffering from the Federal Reserve’s tighter monetary policy.
At the time of writing, ETH/USD has fallen to an intraday low of $1,761, less than 24 hours after reaching a high of $1,812.90. According to data from CoinMarketCap, the price of Ethereum has fallen by more than 7 percent in the past 24 hours.
Recommended literature | Ethereum Market Cap Dropped More Than $100 Billion Last Month
Ethereum price has continued to fall below the dynamic resistance of the bearish trendline since last month.
The aggressive sell-off ETH/USDT pair seen in mid-May surpassed the January low at $2170.
In the face of growing instability in the crypto market, selling pressures eased, resulting in a slow but steady decline.
Ethereum still managed to gain 0.33%
Despite Ethereum’s intraday low of $1,761, a review from last week reveals a price increase of 0.33 percent.
This allowed ETH to remain above the $1,750 level despite bears trying to push the price down.
ETH total market cap at $201 billion on the daily chart | Source: TradingView.com
Other cryptocurrencies also took a major hit, including Solana (loss of 9%), Avalanche (down of 10%) and Cardano, which is down more than 10% in the past 24 hours.
Since the first half of last month, the price of ETH has fallen in response to the bearish trendline and has reached a new low of $1718. Multiple retests of this resistance point to its significant impact on market players.
Recommended literature | Dogecoin Market Cap Dropped $6-B Last Month – Will Downside Pressure Continue?
Still holding power in terms of market cap
Ethereum remains the second largest digital asset of the month by market capitalization. In May, ETH had a market cap of approximately $235 billion.
The decline in Ethereum’s market cap can be traced to a broader sell-off of digital assets in recent weeks.
Meanwhile, inflation is pushing households to be more cautious in their spending management, especially those on lower incomes who spend a larger portion of their budget on basic needs, such as food and energy bills.
Economists believe that tighter budgets could limit demand for digital assets.
Featured image of The VR Soldier, map of TradingView.com