Investors have shown strong support for Ethereum (ETH) staking in recent months. Despite a significant drop in ETH’s value (-61% from its peak), on-chain insights from Token Terminal Intern on Twitter revealed that the total assets held in liquid staking protocols reached an all-time high on Saturday.
This increasing interest in staking demonstrates investors’ confidence in ETH’s future potential, as they are willing to hold onto their tokens (HODL) with the hopes of a potential rally. The hopes of these HODLers could be confirmed by the inverse head-and-shoulders pattern forming on the altcoin’s daily chart.
Should this pattern be validated, ETH could breakout to $2,372. A possible confirmation of this will be when ETH breaks above $2,000, which is also the ‘neckline’ of the chart pattern. Notably, the path with the least resistance remained toward the downside.
Over the past 24 hours, the leading altcoin had dropped below the significant 50-day EMA line, and continued to trade below the technical indicator at press time. Should the sell pressure continue in the next few days, ETH may drop to the 200-day EMA line at 1,776.1 as well.
The Moving Average Convergence Divergence (MACD) supported the bearish outlook after a sell signal was triggered by the technical indicator. In the past week, the MACD line crossed below the MACD signal line. Should ETH’s price continue to drop in the coming days, it may fall to $1,700 or even $1,630.
With regards to the leading altcoin’s 24-hour performance, CoinMarketCap indicated that ETH saw its price decrease slightly by 0.36% over this time. Consequently, ETH was worth about $1,870.42 at press time.
Despite this latest wobble in ETH’s price, it was still able to strengthen against its biggest competitor, Bitcoin (BTC), by 0.25% throughout the past day. Furthermore, ETH’s intraday trading volume rose by 5+%, which left it standing at $4,730,033,887.
