Ethereum (ETH) is almost ready to drop below $3,000 for the second time in three days, which worries both buyers and experts. The spot CVD for the cryptocurrency has gone negative on the daily ETH/USD chart, as shown by data from Cumulative Volume Delta (CVD).
The Cumulative Volume Delta shows the difference between how much was bought and sold over a certain amount of time. There are more sellers than buyers when the CVD is negative.
This makes it hard for prices to go back up. At the time this was written, Ethereum was selling at about $3,012. It was trying very hard to get back above $3,100 but was having trouble because the market was down.
Ethereum Faces Potential Slide Below $3,000
The current situation with Ethereum is made even worse by other measures, such as Mean Coin Age (MCA). The MCA, which measures how old coins are on average, has gone up a little, which means there is more trade going on. But this also means that older coins might be sold off when they come back on the market.
“The recent downturn in Ethereum’s price reflects a significant selling trend observed since July 6th,” analysts said. “If this trend persists without adequate buying pressure, ETH could slide below $3,000, revisiting lows around $2,881 seen earlier this month.”
The Realized Cap, which compares how much coins were worth when they were last moved to how much they are worth now on the market, has also dropped sharply to $559.45 million every day. This drop means that holders have lost money that they haven’t yet realized, which could hurt market trust and lower demand for Ethereum in the cryptocurrency world as a whole.
This could be a good time to buy Ethereum because the bull market is still going strong, even though there are signs that the price is going down. “While short-term challenges loom large, Ethereum’s resilience in the long term remains promising,” they meant that the breaks in the market could lead to price increases in the future.
