Ethereum's price movement today is influenced by a combination of factors, including increased supply and bearish sentiment in the broader crypto market. The network's supply has been rising, reversing the deflationary trend that followed the Ethereum Merge. This increase in supply, coupled with lower demand, has raised concerns about Ethereum's price trajectory. Additionally, the recent drop in funding rates suggests a growing bearish sentiment among traders, although there are signs of recovery as some traders open long positions in anticipation of a rebound.
The market's reaction to these developments has been mixed, with Ethereum's price experiencing fluctuations throughout the day. Despite the challenges, there are indications that Ethereum could find support near the $3,000 level, which has historically been a key demand zone. The Relative Strength Index (RSI) and Stochastic Oscillator are in oversold regions, suggesting a potential recovery. However, if Ethereum fails to maintain this support, it could face further declines.
Ethereum's price has increased by 0.87% today, reaching $3,163.78, with a high of $3,170.50 and a low of $3,127.75.