Ether is testing the lower limits of a short-term range!
Like other major crypto pairs, ETH/USD was not immune to interest rate and global growth concerns that are making traders think twice about taking on “risky” bets like cryptocurrencies.
Ether even took an extra knock from headlines that Kraken, a major crypto exchange, will pay the U.S. SEC $30 million in settlement AND end its staking program after the U.S. securities regulator alleged that the exchange offered and sold unregistered securities with its staking platform.
Threats against staking opportunities in the U.S. mean that investors in the world’s largest economy will have one less reason to hold ETH and other similar tokens. Yipes!
Ether (ETH/USD): 1-hour
Ether (ETH/USD) 1-hour Chart TradingView
ETH/USD dipped from its consolidation just above $1,600 to trade all the way to the $1,525 – $1,550 zone.
As you can see, ETH/USD’s current levels line up nicely with a support area that’s been keeping ETH bulls alive since late January.
Will the support hold for another day? Or will ETH/USD see a downside breakout?Stochastic just hit “oversold” levels but it doesn’t look like there’s enough bullish pressure to turn the oscillator higher just yet.
I’ll be on the lookout for the Asian and European session traders’ reactions to yesterday’s headlines.
If traders focus on their concerns about global growth and staking opportunities in the U.S., then ETH/USD could break its weeks-long range and head for areas of interest like $1,400.
But if economic themes shape up to support risk-taking near the end of the week, then ETH/USD might see some support and even bounce back to its mid-range or range resistance levels.
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