Ethereum death cross threatens more downside as ETH price trades at a key support level

Ether price is down today, and several data points are beginning to suggest that further downside could be in store. 

On July 24, Ethereum (

ETH/USD price analysis

Technically, the ETH/USD pair shows bearish risk in the short term with an impending death cross on the weekly scale.

Ether has witnessed only one death cross between the 50 and 200-period moving averages (MA) on a weekly scale in the past before in June 2019, following which its price dropped 60%.

On the daily chart, the ETH/USD pair threatens a fall toward the 200-day MA at $1,761, which also coincides with the support in line with the lower-highs from November 2022.

The derivatives data for ETH indicates that there has been no significant change in the open interest volume for futures contracts, which reflects the demand for these contracts. This suggests that traders are currently not showing much interest in the recent lackluster price action.

Looking at the options data from Deribit, it reveals that contracts worth $1.1 billion are set to expire on July 28. The positioning in the options market indicates a bullish bias, with a notable concentration of call options between $1,900 and $2,400.

As the expiration date approaches, it is likely that the price will remain subdued around the maximum pain level for options buyers, which is at $1,850.

Based on the on-chain and market indicators, it appears that Ether’s negative selling pressure could persist for a couple of weeks. However, there is potential for a strong influx of buyers, particularly at support levels at $1,700 and $1,500.