Despite the fact that Ethereum (ETH) continues to linger below critical resistance zones, the month of April wraps up with technical indicators signaling a mounting bearish market sentiment. On April 30, Ethereum traded at approximately $1,760, reflecting a 3.06% drop in price within a 24-hour period, and failed to break through the $1,800–$1,825 resistance area.
TradingView data indicates a distinct downward trend with diminishing peaks over the past week. ETH encountered significant resistance at the $1,850 mark, with the support level hovering around $1,750. The closing price of the daily candlestick on April 30 was $1,771.80, underscoring the persistent selling pressure among investors in short timeframes.
Taking advantage of the recent rise in price, whales sold off 262,000 Ethereum, equivalent to roughly $445 million.
The technical indicators project no forthcoming bullish trend behavior, with the bearish crossover intensifying in the 4-hour MACD. The MACD line currently stands at 4.89 while the signal line has reached 10.45. The RSI hit 42.36, highlighting increased bearish market sentiment.
Furthermore, on-chain volume and technical chart patterns suggest more depreciation for ETH. Binance’s trading volume over the last 4 hours amounted to 4.63K ETH, indicating low interest in this pump. Concurrently, DEX activity dropped significantly, with approximately $1.439 billion in daily volume, far below the average DEX activity seen in 2023 and early 2024.
At the time of writing, Ethereum is warding off a drop below the $1,743 support area, trapped within the Fibonacci zone that extends from $1,784 to $1,743. If the price dips below the critical $1,743 mark, which coincides with the 50% Fibonacci level, the next support level stands at $1,710. Below this, $1,677 emerges as the likely target.
The realized cap and “hot capital” inflow chart from Glassnode showed a 66.9% rise in capital circulation over the past two weeks, amounting to $4.34 billion. However, this uptick was driven by short-term holders, leaving the market susceptible to rapid exits if prices decline.
In contrast to the short-term market weakness, data from GrowThePie.xyz indicates that the Ethereum network reached a record high of 15.4 million active addresses in April, with Layer 2 adoption surpassing Layer 1 usage by 6.69 times. Nonetheless, the current price movement of ETH remains constrained due to weak spot market demand and diminished investor confidence.
Vitalik Buterin, the co-founder of Ethereum, outlined two primary development goals for the network in his roadmap: achieving single-slot finality and stateless architecture. These future developments are expected to enhance privacy and scalability, although they are unlikely to impact Ethereum’s near-term market performance.
Looking ahead, further declines for ETH seem likely unless the price can definitively break above the $1,825 resistance level with sustained volume to reclaim $1,800. If the $1,750 level breaks, an uptick in bearish pressure could see Ethereum fall to either $1,710 or $1,677 in the first week of May.
