Ether (ETH) traders might have a few reasons to panic after today’s 13% drop down to $4,100. The swift pullback appears to have broken a 55-day ascending channel that had a target at $5,500.
Ether/USD price at FTX. Source: TradingView
Those not worried about technical analysis will understand that the cryptocurrency’s 3.4% daily volatility justifies the 10% negative price swing. Still, one should not disregard externalities such as the United States infrastructure bill approval on Monday.
The legislation requires that digital asset transactions worth more than $10,000 are reported to the Internal Revenue Service. It remains unknown whether that will be applied to individuals and businesses developing blockchain technology and wallets.
Furthermore, on Nov. 12, the United States Securities and Exchange Commission officially denied VanEck’s spot Bitcoin exchange-traded fund