- The tweet attributed the sharp drop to a drop in market liquidity due to Easter.
- ETH’s price dropped 2.11% in the last 24 hours and stands at $1,836.69 at press time.
Wu Blockchain (@WuBlockchain) tweeted this morning that Ethereum (ETH) options Implied Volatility has seen a sharp drop despite the impending Shanghai upgrade. According to the tweet, the main reason for the sharp drop in ETH options Implied Volatility is because of a drop in market liquidity due to Easter.
At press time, the price of the leading altcoin is down 2.11% after printing a 24-hour loss according to CoinMarketCap. Despite the 24-hour drop, ETH’s weekly price performance remains in the green at +0.92%. As a result, the price of ETH stands at $1,836.69 presently.
Furthermore, Bitcoin (BTC) outperformed ETH in the last 24 hours and ETH is currently down 1.50% against the market leader.
ETH’s price has dropped below the key support level at around $1,845 recently. In addition, the altcoin’s price has also dropped below the positive trend line that had been established on its daily chart.
Should ETH’s price close today’s trading session below these two key levels, it will continue to drop to the 20-day EMA line in the next 24-48 hours.
The daily RSI line has crossed below the daily RSI SMA line in the last 24 hours, which suggests that ETH’s price will drop to the 20-day EMA line in the next 24-48 hours and will potentially drop to the next key support level at $1,715.
This bearish thesis will be invalidated if ETH’s price is able to close today’s trading session above $1,845. Should this happen, ETH’s price will rise to the next minor resistance level at $1,911.95.
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