Ether Nears ‘Death Cross’ as Key Momentum Indicator Flashes Bearish Signal
What to Know
Ether (ETH) is on the brink of forming a death cross, a technical pattern that signals potential downside momentum, though its reliability in forecasting long-term trends remains mixed.
The second-largest cryptocurrency slid more than 5% to $2,375 on Tuesday, with its 50-day simple moving average (SMA) approaching a crossover below the 200-day SMA—a formation known as the death cross. This pattern suggests short-term momentum is weakening relative to long-term trends and could attract bearish momentum traders looking to push prices lower.
Other major cryptocurrencies are also under pressure. BNB, SOL, DOGE, and LINK have all fallen below their 200-day moving averages, reinforcing a broader risk-off sentiment in the market. The 200-day SMA is widely viewed as a key long-term trend indicator, with dips below it often associated with bearish sentiment.
Meanwhile, Bitcoin (BTC), XRP, TRON (TRX), Cardano (ADA), and Stellar (XLM) remain above their 200-day SMA, suggesting relative resilience compared to other altcoins.
