Key takeout
- ETH has been trading above $4,300, up less than 1% over the past 24 hours.
- Investors will focus on Powell’s speech at Jackson Hole later today.
Ether is resilient despite bearish market conditions
The cryptocurrency market has been volatile since the beginning of the week, with more volatility expected in the coming hours. Traders have potential volatility ahead of Federal Reserve Chair Jerome Powell’s speech at the Jackson Hole Symposium.
Bitcoin has been trading around $113,000 while ether has been traded for over $4,300 and has been trading under 1% in the last 24 hours. Ether’s resilience could be attributed to recent reports from JPMorgan, which revealed that Spot Ether Exchange-Traded Funds (ETF), which won $5.4 billion in July and coincident with the Bitcoin ETF, pulled $5.4 billion. Meanwhile, Bitcoin funds have seen modest leaks ever since, but ether vehicles continue to draw capital.
According to the bank, SEC approval for Ether ETF redemption is expected to reduce costs, increase liquidity and further strengthen ether positioning against Bitcoin.
If Powell’s speech comes, the ether could fall below $4,200
FOMC minutes released Thursday revealed Hawkish’s bias by the Federal Reserve, with analysts not expecting Apex Bank to cut its fees by next month. Short-term market performance could be determined by Powell’s speech today.
The ETH/USD 4-hour chart is bearish and efficient as it has lost 7% of its value in the last 7 days. The RSI of 51 indicates that the ether is neutral, while the MACD line suggests a bearish undertone.
At the time of pressing, ETH is traded at $4,314 per coin. If the daily candle is closed beyond the $4,232 support, ETH can extend the recovery to $4,488 to the next daily resistance. The extended bullish run will allow you to aim for an annual high of $4,788.
However, as the wider market is still bleeding, ether could face a fix if daily support of $4,232 fails. This could potentially increase the ETH reduction to $3,946 to the next level of support.
