Ethereum демонстрирует волатильность несмотря на снижение процентной ставки ФРС Translation: Ethereum shows volatility despite the Feds interest rate cut

Market participants have seen a retracement down to $3300.

The price of the second-largest cryptocurrency was unable to maintain levels above $4000. The asset has been trading sideways for almost two weeks following the drop below $3700.

As of this writing, Ethereum is priced at $3816, having decreased by 5% in the last 24 hours.

Trader sentiment remains cautious despite the fact that the Federal Reserve confirmed a 0.25% reduction in interest rates and the end of quantitative tightening.

Ethereum futures are trading at a 5% premium to spot prices. This represents the lower boundary of a neutral range between 5% and 10%, indicating weak demand from traders using leverage.

A brief surge to $4000 did not restore a sustained bullish market sentiment.

The bearish trend in futures has coincided with an outflow of funds from American spot ETFs based on Ethereum, which has been dominant since mid-October. An inflow of about $380 million earlier this week also failed to boost the price.

Analyst Ted Pullous noted that the second-largest cryptocurrency struggled to gain even in light of positive developments.

According to him, the next support level is at $3800. A drop below this level might trigger a sell-off towards the $3500-3700 zone. For a resurgence in growth, bulls must firmly hold above $4000.

“Either this is a classic ‘bear trap,’ or the crypto market will decline much further,” added Pullous.

Other analysts hold a more optimistic view. An expert known as FibonacciTrading considers the dip to $3300 to be a “healthy correction” within an upward trend.

Analyst Cactus believes that growth potential remains if bulls can maintain the support range of $3800-4200.

It’s worth noting that on October 26, the transaction cost in Ethereum dropped to 0.16 Gwei (approximately $0.01).