Ether is losing some of the gains it has gathered today and risks dropping below the $2,500 level soon.
The cryptocurrency market continues to underperform, with the cryptocurrency market cap now below the $1.8 trillion mark.
Ether, the second-largest cryptocurrency, performed well earlier today. ETH rallied past the $2,700 mark after adding more than 3% to its value.
However, ETH is currently facing a bearish trend and could record further losses over the coming hours. At press time, ETH is trading at $2,641, up by less than 1% since the start of the day.
If the bears continue to control the market, ETH could record further losses and trade below the $2,500 level again.
The bearish trend is affecting the performance of the broader market. Bitcoin lost its $40k support level over the weekend and now trades around $38,000.
Binance Coin (BNB), XRP, Cardano, Solana, LUNA, Avalanche and the other major cryptocurrencies have all lost more than 2% of their values over the past 24 hours.
The bearish performance has seen the total cryptocurrency market cap drop from the $1.8 trillion mark over the weekend to now stand above $1.7 trillion.
Key levels to watch
The ETH/USD 4-hour chart has turned bearish thanks to Ethereum’s performance over the past few hours. The technical indicators show that ETH is currently underperforming and could record further losses soon.
The MACD line has dropped into the negative zone following the recent bearish trend. The 14-day relative strength index of 44 shows that ETH could enter the oversold region if the negative performance continues.
If the bears remain in control, ETH could lose its major support level at $2,500 over the next few hours. In the event of an extended bearish performance, ETH could trade around $2,400 for the first time in a month.