The daily Ethereum (ETH) price chart remains bearish, as the price struggles to stay above the support zone at USD$1,900 after a long downtrend. Breaching above this level could promote further decline, potentially targeting the support area at $1,600 if selling pressure continues. The 200-day moving average remains much higher, and is around USD$2,900, indicating a strong bearish bias.
At the same time, the Relative Strength Index (RSI) is in the oversold zone, suggesting the likelihood of a short-term rebound. A decisive breakout above $2,000 with strong trading volume could shift momentum towards $2,200, but failure to do so is likely to confirm continued weakness in the short term.
The four-hour chart shows a breakout of a descending wedge pattern, indicating a possible trend reversal. However, the price of the coin remains stuck around the resistance zone at USD$1,900, with multiple rejections pointing to a lack of strong bullish momentum.
The RSI is recovering but remains below the overbought level, suggesting there is room for further growth if Ethereum manages to close above this key resistance area. A confirmed breakout above $2,000 could cause a rise towards $2,100-2,200, while a non-persuasion above $1,900 could trigger a retest of the support level at $1,800. Volume confirmation will be crucial in determining whether this breakout will continue or will it lead to another rejection.
The Ethereum trading reserve chart shows a steady decline in the amount of Ethereum held on exchanges, which is currently approaching multi-year lows of around 18.8 million. This indicates a long-term cumulative trend, where fewer tokens are available for immediate sale.
21Shares Announces Liquidation of Two ETF Cryptocurrency Funds
Prominent asset management firm 21Shares has announced the liquidation of two cryptocurrency futures exchange-traded funds (ETFs), focused on Bitcoin and Ethereum.
According to a recent press release, the move is in line with the company’s ongoing efforts to adapt to market conditions. In addition, the company strives to meet customer needs and keep pace with changes in the digital asset landscape. ETFs affected include:
It should be noted that the liquidation process will take place at the end of March 2025, with the final trading on March 27, 2025. In the meantime, shareholders will have the opportunity to sell their stakes in the funds before the close of trading on March 27, 2025. Those who choose to sell before this date may incur standard brokerage fees.
Furthermore, any shares remaining on the liquidation date, March 28, 2025, will be converted into liquidation dividends. The value of these dividends will reflect each shareholder’s share in the exchange’s ETF at that time. The company advised investors to prepare for these changes in advance to limit any potential disruptions.
Investors who receive liquidation dividends may face tax effects depending on their individual circumstances. Specifically, liquidation may result in a capital gain or loss based on the net asset value of the shares at the time of distribution.
As a result, 21Shares encouraged shareholders to consult tax experts to determine their tax liabilities.
Liquidation reflects efforts to streamline offers in response to evolving market conditions. 21Shares continues to evaluate its product range to align with broader industry trends and customer demands.
These two exchange-traded funds will leave the 21Shares portfolio, but the company continues to develop crypto investment solutions within regulatory frameworks.
Investors affected by this shift are advised to stay up to date with the alternative options available in the market.
Expectations of interest rate fixation at the Fed meeting and the cryptocurrency market is under heavy pressure
The Federal Open Market Committee (FOMC) meeting is scheduled for Tuesday and Wednesday, and tension reigns among investors. Markets are keeping a close eye on any signs of interest rates, especially after Federal Reserve Chairman Jerome Powell hinted at a wait-and-see approach. The new policies, especially tough tariffs, are already creating uncertainty in the US economy, and people are beginning to feel their impact.
Stocks are fluctuating, investor sentiment is fluctuating, and the cryptocurrency market is under intense pressure. In just 24 hours, the global cryptocurrency market fell 3.1%, with both Bitcoin and Ethereum falling.
Bitcoin and Ethereum face losses
Bitcoin recorded a sharp one-day decline of 2.09% yesterday, closing at $82,577. Over the past 24 hours, it has fallen by another 1.9%. However, it is currently trading at a slightly higher level of USD$82,888, up 0.37% from yesterday’s close.
Ethereum also saw a significant decline, falling from $1,935 to $1,886 yesterday, a drop of 2.52%. In the past twenty-four hours, it has lost another 2.4%, although it has recovered slightly to $1,888.
Will the Fed keep interest rates steady?
As the FOMC meeting begins, most experts expect the Fed to make no changes to interest rates. Currently, the federal funds rate remains between 4.25% and 4.5%, with no immediate adjustments expected.
At the same time, inflation in the United States is gradually declining. In February, it fell from 3% to 2.8%, and expectations suggest that it may fall further to 2.5% in March.
Many believe that the Federal Reserve will avoid making any major interest rate decisions until the economic impact of these trade policies becomes clear. However, some experts warn that tariffs could lead to higher inflation, which could complicate the Fed’s future approach.
