ETH Faces Strong Selling Pressure as Market Awaits ETF Decision

Potential issuers of spot ETH ETFs are awaiting feedback from the SEC. Over the past few weeks, ETH has experienced significant selling pressure.

Azcnews Eth Faces Strong Selling Pressure As Market Awaits Etf Decision

Selling pressure on Ethereum [ETH] has intensified as potential issuers of spot ETH ETFs await feedback from the Securities and Exchange Commission (SEC) regarding their S-1 filings, submitted on May 31.

Many anticipated that the regulatory body would provide updates on these filings by June 7. However, none of the eight prospective issuers, who had their applications filed on May 23, received any response.

While the duration of this process remains uncertain, SEC Chairman Gary Gensler mentioned in a recent interview with CNBC that approving S-1 forms could “take some time.”

ETH bears the brunt

Ethusdt
Ethusdt

At the time of writing, ETH is valued at $3,539. According to CoinMarketCap, the leading altcoin has seen a nearly 10% decline over the past week.

This price drop is attributed to decreased demand for the altcoin. Currently, its key momentum indicators are below their respective midlines, indicating a surge in selling pressure.

For instance, ETH’s Relative Strength Index (RSI) stands at 45.40, while its Money Flow Index (MFI) is at 45.69. These indicators measure the momentum and strength of the asset’s price movements. These values suggest that market participants prefer selling off ETH rather than accumulating new holdings.

Related: ZKsync to Airdrop 3.6 Billion ZK Tokens Next Week

ETH’s declining Chaikin Money Flow (CMF) confirms this trend. At the time of writing, its CMF is on a downward trajectory and below the zero line at -0.01. This indicator tracks the flow of money in and out of the asset market. A negative CMF value signals market weakness, indicating outflows and a bearish trend for the asset.

Ethereum Chart
Ethereum Chart

Furthermore, the negative values of ETH’s Elder-Ray Index have reinforced the bearish outlook for this altcoin. This indicator measures the balance of power between buyers and sellers in the market. When its value is negative, it suggests that bearish sentiment is prevailing.

As of now, ETH’s Elder-Ray Index stands at -209. If selling pressure increases, ETH’s price could drop below $3,500 to around $3,403. Conversely, if bullish sentiment returns to the market, ETH’s price might rise to $3,610.

3.5/5

(2 votes)

Latest

Trade To Earn 300,000 Usd On Bingx

Airdrops | Editor Choice

Trade to Earn 300,000 USD on BingX

Join Trade to Earn on BingX to share in rewards of up to 300,000 USD!

Cz Considers Creating A Memecoin On Bnb Chain Inspired By Me

News | Editor Choice

CZ Considers Creating a Memecoin on BNB Chain

In response on X, former Binance CEO CZ is considering creating a memecoin inspired by his pet dog, which immediately sparked excitement in the community.

Azcnews Breaking Trump Appoints Former Bitfury Executive To Lead U.s. Banking Regulator

News | Editor Choice | Policy & Regulations

Trump Appoints Former Bitfury Executive to Lead U.S. Banking Regulator

Donald Trump nominates former Bitfury executive Jonathan Gould to lead the OCC, signaling a potential shift in banking regulation with a crypto-savvy leader.

Earn 30 Ip (over 100 Usd) On Bybit For New Users

News | Editor Choice

Earn 30 IP (over 100 USD) on Bybit for New Users

Join to Receive 30 IP (Valued at Over 100 USD) for New Users on the Bybit Exchange.

Azcnews Breaking Bitcoin’s Rebound Sparks A Broader Market Recovery

News | Bitcoin | Editor Choice

Bitcoin’s Rebound Sparks a Broader Market Recovery

Bitcoin and the crypto market have rebounded following the release of a U.S. macroeconomic report.